President Mohamud Underscores World Bank’s Role in Post Debt Relief Period
GOOBJOOG NEWS | NAIROBI: Federal Republic of Somalia president Hassan Sheikh Mohamud has stated that the World Bank’s International Development Association (IDA) continues to play a crucial role to the Somali Government banks which supports the transformation agenda in the post-debt relief period.
The president, made the remarks while delivering a keynote speech during the International Development Association (IDA21) for African Heads of State Summit in Nairobi Kenya, which brought together leaders from continent and World Bank officials.
During the summit, the African heads echoed a narrative espoused over the past 12 months that the global financial architecture does not address specific needs of African countries.
The leaders appealed once again for access to concessional finance that “transcends financial returns” as the continent grapples with the impact of climate change, mounting geopolitical tensions and the lingering impact of the global pandemic.
In a unified voice, the nineteen African heads rallied for a robust replenishment of $120 billion for the International Development Association (IDA) to support the continent’s development efforts.
Multiple Challenges
The call comes as Africa grapples with multiple challenges, including the debt crisis, climate change impacts, effects of the COVID-19 pandemic, and geopolitical tensions.
The current IDA replenishment cycle coincides with a period of unprecedented challenges for African countries, necessitating significant financial support.
The leaders called upon donor countries to step up their contributions to the IDA later this year, highlighting the importance of investments in human capital, energy access, digital infrastructure, climate resilience, health, and education.
In a communique, the heads of state stressed the importance of an ambitious IDA 21 replenishment that aligns with Africa’s developmental aspirations.
They pointed out the need for increased access to long-term concessional financing and emphasized the importance of stronger partnerships and effective coordination to achieve the continent’s economic and development agenda.