UN Summit UN once a tenth, 4 International Conference on Development Financing, has recently joined governments, businesses and NGOs in Seville to deal with a massive gap in the field of funds to fight poverty. Can it succeed in the middle of American isolationism? Can India help?
Where is the world to develop financing?
This can be one of the most difficult challenges facing the world. Development countries are struggling with a gap of $ 4 trillion a year to finance development and the worst, as always, are the poorest indebted country. Money is needed to realize the world of 17 goals of sustainable development (SDG) that countries adopted in 2015. These have been reaching from the end of poverty to equality of women, health, education and fighting climate change. In 2024, official development assistance (ODA) decreased by the richest countries in the world in the organization for economic cooperation and development (OECD) by 7.1% to $ 212.1 billion.
What does the financing of development achieve?
Messages are mixed. The latest UN data shows that 9% of the global population lived in extreme poverty (surviving for less than $ 2.15 per day in 2022 in 2022, compared to 10.5% in 2015. However, global poverty reduction is “practically calm”. They show that in every respect, the poorest countries are in the middle, and the wealthy nations lead in development metrics.
What are the main areas?
The decline in funding has an impact on all areas of development. Interestingly, the decline in OECD assistance shows that cuts have been conducted by reduced expenditures to contributions to international organizations, as well as a decline in assistance to Ukraine, lower levels of humanitarian aid, and reduced expenditure on refugees in donor countries. Expenditure on Ukraine and host refugees show that money does not have to go to the poorest nations.
What can India offer in this bleak scenario?
Indian role has always been about increasing capacity than financing. At the Summit in Seville, the Minister of Finance Nirmal Sitharaman called for an urgent action to build a “complex, fair and development -oriented framework of global financing”. With many SDGs outside the track, India is well placed to share its experience with lifting 250 million people from multidimensional poverty. Other areas of shared capacities include digital public infrared, digital reform in tax management, building ecosystems for startups and targeted loans for micro, small and medium -sized enterprises.
What is the future of development financing?
The fall in ODA, which was observed in 2024, came after five years of increase, although some of them were powered by postpandemic imperatives. Now the future looks bleak. The US has not participated in FFD4 and disagrees with many main objectives, such as the reform of multilateral institutions. OECD officials say that some of the main donors have signaled further and in the coming years ODA further decreases. As a result, targeted funding is essential. Sithaman said that developing countries can be drivers and recipients of such funding. India is well placed here to take over the leading role.
(Tagstotranslate) Global poverty
