Video Message
Excellency,
Ladies and Gentlemen,
It’s my great pleasure to join you at the Phoenix Financial Forum for the Greater Bay Area 2024.
The world is in a sustainable development crisis. We are faced with increasingly frequent climate-related disasters. A series of global shocks, including the COVID-19 pandemic, geopolitical conflicts and economic instability have de-railed progress toward our development goals, including eliminating poverty and hunger and fighting inequality. According to the latest SDG Progress report, only 17% of our SDG targets are on track to be achieved by 2030.
Colleagues,
The theme of today’s event “New Opportunity, New Vitality” truly reflects the need of our time. These, along with enhanced solidarity and cooperation are keys to getting the SDGs back on track.
How can we generate new opportunity and vitality? We must start with a healthy world economy. The good news is, after years of turbulent economic fluctuations, the world economy is finally returning to a more stable trajectory.
However, the current economic resilience should not mask underlying downside risks. Elevated interest rates and lack of fiscal space undermine countries’ ability to invest in productive sectors and human capital. And Debt crisis looms large, with dozens of countries paying more for debt service than they can spend on health and education of their people.
China, as the largest developing country, has played a key role in the global economic recovery in the past few years. During the pandemic, China was one of the first major economies emerging from the economic downturn, helping stabilize global supply chains and creating demand for products and services from other countries.
Furthermore, China’s efforts to help mitigate some global challenges are welcomed. The Global Development Initiative proposed by Chinese President Xi Jinping in 2021 has injected a strong impetus to global development partnership and expanded horizons for global cooperation.
To overcome challenges, we all need to step up efforts based on renewed multilateralism and inclusive international cooperation. I see five pathways to foster “New Opportunity” and “New Vitality”.
First, strengthening macroeconomic policy coordination to forge synergies and minimize spillover effects. Fragmented inward-looking policies of global economy can have negative spillovers, especially affecting the most vulnerable. Major economies should enhance dialogue, make joint efforts to reform and revive the multilateral trading system, and improve global economic governance.
In the coming months, countries will have the opportunity to discuss global economic governance and the international financial architecture reform in the Summit of the Future and the Fourth International Conference on Financing for Development.
Second, enhancing international cooperation to harness technological advances for the future of humanity. An open, just, and non-discriminatory environment will help ensure that the technological revolution and industrial transformation drive the vitality of the global economy and accelerate sustainable development.
Third, finding a sustainable way out of the global debt crisis. Immediate action on debt restructuring remains crucial. A coordinated multilateral approach and an overhaul of the global financial architecture are needed to address these debt challenges in a comprehensive way.
Fourth, unlocking the potential of innovative finance for supporting SDGs. The Secretary-General’s SDG Stimulus calls for increasing SDG investments by at least 500 billion US dollars per year. This requires full commitment from all stakeholders, public and private, as well as multilateral development banks. Capital markets are increasingly important drivers of investment allocation in developing countries. Private sector investment and activities should be better aligned with the SDGs to generate transformations.
Fifth, accelerating green development to fight climate change. Actions must be taken to scale up climate finance and ensure smooth cross-border flows of green technologies and products. All countries are required to adhere to the carbon emissions targets set in the Paris Agreement and work together for a just transition to a greener economy.
In conclusion, I wish to highlight the importance of collaboration and trust. To build this trust, we must find solutions for the economic and financing challenges the world is facing. We have the opportunity to rescue the SDGs – let's not waste it.
I look forward to your fruitful deliberations.
Thank you.