Chapo calls for new financing mechanisms for vulnerable countries

Maputo, 1 Jul (AIM) – Mozambican President Daniel Chapo has called for the United Nations to set up a Global Partnership for Climate Finance to implement new financing mechanisms for the most vulnerable countries, including Mozambique.

According to Chapo, who was speaking on Monday at the start of the Fourth International Conference on Development Financing (FfD4), in the Spanish city of Seville, the UN meeting brings strategic chances to think about “concrete, innovative and sustainable solutions to the financial challenges facing developing countries today.”

“We want to propose a new model of cooperation that places climate finance, inclusive industrialization and strategic capacity building at the centre of global priorities. We are confident that, with the collaboration of the international community and good practices, we can build a more just, resilient and sustainable future for all”, Chapo told the conference plenary.

According to Chapo, Mozambique’s proposal is “in line with the expected results of this conference”, focused on “new Global Partnership for Results-Based Climate Finance on highly vulnerable countries, low carbon emissions and adaptation projects”.

“Mozambique is also proposing the creation of national and regional Development Banks, aimed at financing rural industrialization, Small and Medium Enterprises and the green economy, as well as a continental platform for digital financial inclusion, focusing on young people and women,”, he said.

He explained that “in line with what has been advocated by other protagonists at this conference and what is enshrined in the Seville Commitment document, signed today by more than 190 UN countries, Mozambique is calling for multilateral mechanisms for sustainable debt management, including transparency and investment incentives”.

Mozambique, the President said, has reinforced its “commitment to structural reforms and a clear vision of economic transformation based on good governance, strategic infrastructure, industrialization, human capital and environmental sustainability”.

“This resonates with the central principles of the UN Seville Conference, which is the need for a more inclusive global financial architecture, with better access to finance and greater equity in opportunities for developing countries”, he said.

According to the UN, the conference, which runs until Thursday, aims to relaunch models for mobilizing and applying resources for development, whose public aid funds have been declining and currently have a deficit of four trillion US dollars per year. The meeting is being attended by over 60 world leaders, ten years after the previous conference held in Ethiopia.

One country is notable by its absence. Nobody from the Trump administration in the United States, the richest country in the world, is attending.
(AIM)
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