Seville: The Angolan head of state and president of the African Union, Joo Louren§o, called on Monday for the definition of more agile and functional mechanisms for mobilizing financial resources to meet the recurring challenges faced by developing countries.
According to Angola Press News Agency, in his speech at the 4th International Conference on Financing for Development, being held in Seville, Spain, under the auspices of the United Nations, the AU president pointed to climate shocks, fluctuations in commodity prices, erosion of confidence in the multilateral system, and the unsustainable weight of sovereign debt. This debt consumes more resources than those earmarked for health and education combined, drastically limiting the room for maneuver to finance development.
Louren§o stated that these aspects constitute a clear obstacle to the realization of the Sustainable Development Goals of Agenda 2030 and the fulfillment of Agenda 2063, which express the common commitment to building a fairer, more inclusive, and more resilient world. He emphasized that there will be no development on the African continent without solid and functional infrastructures, citing the small capacity for producing and transporting electricity, and the poor network of roads and motorways linking African countries.
The AU president also highlighted that low investment in telecommunications and information technologies hinders economic growth and development, as it seriously conditions trade and industry, the movement of people and goods, agriculture, and job creation. This is why the African Union, at its summit in February this year, decided to hold a major conference on ‘Infrastructure as a Development Factor in Africa’, to be held in Luanda, Angola, in October.
Louren§o explained that the purpose of the conference is to show international partners the mapping that has already been carried out of the needs in this area for public or public-private investment in infrastructure, aiming to attract and mobilize resources for the realization of this ‘great ambition’, which will produce considerable benefits and advantages for all parties involved.
The President of the African Union argued that major investments in infrastructure in Africa require a financing model more adapted to the economic conditions of African countries, which will necessitate a rethink of the current financial architecture. This architecture should always take into account the continent’s priorities, which are often neglected.
In light of these facts, Louren§o emphasized the urgency of reforms needed in the international financial system, stating, “it seems fundamental and urgent to us, in order to do justice to the concerns about support for Africa’s development that are being repeated in the various forums where the issue is discussed, that we look deeply into the issue of the reforms that are needed.”
According to Louren§o, Africa’s debt significantly impacts the implementation of the continent’s programs, as it acts as a brake on development due to the shortage of financial resources it causes. This limitation hampers the continent’s capacity to invest in key sectors of the economy, with adverse repercussions on the social situation of African countries. He considered the Lom© Declaration on African Debt, adopted in May 2025, to be very timely, representing a milestone in constructing a common African position.
The Seville conference, organized by the UN, gathers more than 60 world leaders and 4,000 representatives of civil society to debate solutions to global development challenges. It aims to reflect on new forms of financing and international cooperation that can help reduce the gap between the more developed global North and the global South, which still faces multiple obstacles to sustainable progress.
According to the UN, the current system has failed to fulfill promises made to the most vulnerable populations. The conference agenda includes commitments to strengthen domestic resource mobilization, improve international cooperation, and tackle systemic issues such as debt sustainability. The current financing gap for development is estimated at 4 trillion US dollars a year, with central themes of rising debt, falling investment, and reduced foreign financial aid.