Financing for Sustainable Development Report 2024 released by United Nations Department of Economic and Social Affairs | Current Affairs | Vision IAS
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Financing for Sustainable Development Report 2024 released by United Nations Department of Economic and Social Affairs

Posted 11 Apr 2024

1 min read

 

  • Key Highlights
    • High financing gap for developing countries, ranging between $2.5 trillion and $4 trillion annually.
    • Finance divides: Developing countries face significantly worse terms of access to both long-term and contingency financing.
    • Weak enabling environment: Policy, regulatory and tax frameworks are not sufficiently aligned with SDGs.

 

  • Reasons for low financing of SDGs
    • Rise in systemic risks have put National financing frameworks under severe stress.
      • E.g., Covid 19 pandemic, Rise in frequency of disasters etc.
    • Average GDP growth rates in developing countries fell to just over 4% annually (between 2021 and 2025).
    • Median debt service burden for Least Developed countries (LDCs) rose to 12% in 2023.
    • Other concerns: Digitization induced risks, Rising geopolitical tensions.

 

  • Recommendations
    • Building tax capacity to improve tax revenue for delivering on SDGs.
    • International Development cooperation to mobilizing other financial resources.
      •  E.g., new approach to blended finance focused on support for sustainable trade and responsible business conduct
    • Intensified action to address debt challenges of developing countries.
    • Enhancing coherence between trade, investment and sustainable development.
    • Funding for data and statistical systems to focus on producing actionable insights for advancing SDGs.

 

  • Tags :
  • SDG Report
  • UNDESA
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