In an age of uncertainty, Africa needs to lean towards resilience, inclusion, and transformation – Economic Commission for Africa (ECA) Chief
During an African Consultative Group meeting with IMF Managing Director Kristalina Georgieva organised on the margins of the IMF-World Bank Spring Meetings, Claver Gatete, Executive Secretary of the Economic Commission for Africa (ECA), discussed the pressing economic, social, and geopolitical challenges facing the continent.
In his remarks, Gatete emphasised that African economies are currently navigating a complex landscape characterised by persistent funding shortages, trade disruptions, and escalating debt vulnerabilities.
"We are meeting at a critical time of profound uncertainty," he stated, underscoring the intertwined nature of the obstacles confronting African nations.
Mr. Gatete recognized the progress made by the IMF in implementing recommendations from the Africa High-level Working Group on the Global Financial Architecture, saying, 'We note the reforms to the Resilience and Sustainability Fund to have more catalytical role in attracting additional finance, broadening scope to include pandemic preparedness, strengthening collaboration with MDBs and streamlining programme reform measures.'
Additionally, he commended the IMF for maintaining higher General Resources Account (GRA) access limits and for the advancements made in reforming IMF Arrears Policy during debt restructuring. However, he stressed that more action is required to address the continent's challenges effectively.
Mr. Gatete highlighted some key priorities emanating from the recent ECA Conference of Ministers of Finance, Economic Development and Planning, noting their centrality in steering Africa toward resilience, inclusion, and transformation.
He highlighted the urgent implementation of the African Continental Free Trade Area (AfCFTA), which aims to create a unified market across African nations and the need to build competitive, climate-smart, and digitally enabled regional value chains while harmonising industrial policies and improving infrastructure and logistics.
To mobilise domestic resources, Mr. Gatete emphasised the need to enhance tax revenue collection through digitalisation, broadening the tax base, and improving tax administration. He also highlighted the necessity of combating illicit financial flows and revenue leakages while developing domestic financial markets.
Lastly, Mr. Gatete reiterated the need to advance Global Financial Architecture Reform to ensure Africa's adequate representation and voice in global decision-making processes. He also stressed the need to align common positions in key global platforms, such as the G20, Financing for Development (FfD4), and the UN Tax Convention.
Underscoring the importance of collaborative efforts required to navigate current complex challenges, Mr. Gatete expressed his commitment to partnering with the IMF and other stakeholders to secure meaningful reforms in these areas.
"ECA remains your committed partner in this journey,' he affirmed.
Distributed by APO Group on behalf of United Nations Economic Commission for Africa (ECA).
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