President William Ruto has called for reforms to the global financial system to reduce the cost of borrowing for African countries and unlock more resources for development.
Ruto said Africa’s ability to finance development is being constrained by high debt costs, which he argued are limiting government spending on jobs, education, healthcare and infrastructure.
The President made the remarks in New York during a High-Level Reflection on the Pact for the Future, held on the sidelines of the 81st United Nations General Assembly.
The meeting was convened by Namibia, Zambia, the African Union and the United Nations Economic Commission for Africa.
Ruto said African countries played a role in shaping the Pact for the Future, but argued that its commitments must now translate into tangible outcomes for the continent.
He identified increased opportunities for Africa’s young population and fairer access to development financing as key areas that should be addressed.
According to Ruto, reforms should focus on lowering Africa’s cost of capital, expanding guarantees and risk-sharing mechanisms and enabling countries to mobilise more domestic resources.
“Money Africa can rightfully tax is money Africa need not borrow,” Ruto said.
His remarks come as he continues to push for changes to international financial and governance systems, arguing that existing structures do not adequately respond to the development needs of African countries.
Ruto has also previously called for greater mobilisation of African domestic capital, saying the continent has substantial financial resources that can be channelled into infrastructure and other development projects if investment and risk-sharing frameworks are improved.
The President is in New York for the 81st UN General Assembly, where Kenya has also been advocating for increased investment in Africa, reforms to global financial institutions and greater African participation in emerging areas such as artificial intelligence.
