President Cyril Ramaphosa has reaffirmed South Africa’s commitment to addressing debt sustainability in low-income countries during its G20 presidency, emphasizing the urgent need for global financial reforms to support sustainable development.
Speaking at the high-level virtual meeting of the Fourth International Conference on Financing for Development (FFD4), Ramaphosa highlighted the severe constraints faced by developing nations due to mounting debt burdens.
“The policy space available to developing countries is significantly constrained by debt servicing obligations, alongside climate and development financing needs,” he said. “For example, 23 African countries are spending more on debt costs than on critical development enablers like health and education.”
The President stressed that South Africa’s G20 leadership will prioritize sustainable solutions to tackle structural deficits, liquidity challenges, and debt relief for vulnerable economies. This comes as world leaders prepare for an upcoming gathering in Spain, where discussions will focus on accelerating the Sustainable Development Goals (SDGs) and reforming the global financial system.
Ramaphosa announced that South Africa will host a side event at FFD4 under the theme “Forging a Common Agenda to Achieve Debt Sustainability in Developing Economies.” The event aims to foster collaboration among international stakeholders to ease financial pressures on struggling nations.
“We must not turn a blind eye to the attainment of the SDGs,” Ramaphosa urged. “Importantly, we must align our efforts across all available fora and platforms.”
South Africa has positioned solidarity, equality, and sustainability as central pillars of its G20 presidency, advocating for policies that support economic recovery and long-term resilience in the Global South.
As global economic disparities widen, Ramaphosa’s remarks signal a push for stronger multilateral cooperation to ensure that developing nations are not left behind in the pursuit of a more equitable financial future.