Nigeria Calls for Overhaul of Global Financial System to Support Developing Nations

At the 4th International Conference on Financing for Development (FFD4) held in Sevilla, Spain, Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, called for an urgent restructuring of the global financial system to reflect the needs and realities of developing nations. Representing Nigeria among more than 150 countries and 60 heads of state, Edun emphasized the need for fairness in global finance, stating that low- and middle-income countries are continually marginalized by existing financial structures. He highlighted Nigeria’s national priorities, including digital infrastructure, transparency, and institutional reform, aimed at maximizing economic value for every naira spent.

Edun argued that national reforms alone cannot resolve the deep-rooted challenges faced by developing countries. He called for greater international collaboration to address global tax inequities and curb illicit financial flows, both of which significantly hinder development in African economies. According to Edun, a revamped global financial system should actively recognize and support the structural limitations and investment needs of lower-income nations.

UN Secretary-General António Guterres also addressed the conference with a stark warning on the faltering progress toward the 2030 Sustainable Development Goals (SDGs). He painted a bleak picture of a world grappling with inequalities, climate crises, and conflicts, stating that the global development engine is “sputtering.” Guterres noted that two-thirds of the SDGs are off track and emphasized the urgent need for a $4 trillion investment to realign with the original targets. He also criticized the absence of the United States, which withdrew from the FFD4 process earlier in the month.

In response to the mounting challenges, global leaders adopted the “Sevilla Commitment,” a renewed pledge to build a more equitable international financial system for developing economies. Guterres outlined a three-point agenda aimed at restoring momentum toward sustainable development: mobilizing domestic resources through increased aid and private capital, addressing the global debt crisis through restructuring and a borrowers’ forum, and reforming global financial governance to give all nations an equal voice.

The conference marked a critical juncture in the global dialogue on sustainable financing, with Nigeria taking a leading role in advocating for systemic reform. The proposals from both Edun and Guterres underscore the growing urgency among developing nations for a financial framework that truly supports inclusive growth, sustainable investment, and equitable global governance.

Source: Nairametrics