FiCS 2025 Calls for Global Action to Tackle Poverty.

Monday, 3rd March 2025

Par inAfrika Reporter

CAPE TOWN, South Africa, The fifth edition of the Finance in Common Summit (FiCS) concluded with a resounding call for global development finance institutions to work together in addressing poverty and accelerating sustainable development. South African Finance Minister Enoch Godongwana led the charge, emphasizing the power of financial collaboration in shaping a more equitable global economy.

Held alongside the G20 Finance Ministers’ Meeting, the summit, co-sponsored by the African Development Bank, centered on the theme “Fostering Infrastructure and Finance for Fair and Sustainable Growth.” Godongwana underscored South Africa’s economic reforms in energy, transport, and ports, positioning the nation as a model for attracting investment through structural transformation.

African Development Bank Vice President for Finance and Chief Financial Officer Hassatou Diop N’Sele represented the Bank’s President, Dr. Akinwumi Adesina, at a Council of Europe Development Bank meeting, where multilateral institutions reaffirmed their commitment to maximizing collective impact. Addressing the G20 Finance Ministers, N’Sele urged member nations to scale up financial commitments, particularly in replenishing the African Development Fund, simplifying climate finance access, and creating policies that facilitate sustainable capital flows into Africa.

She highlighted the Bank’s pioneering financial tools, including innovative hybrid capital transactions replicated by other institutions, and the Africa Investment Forum, designed to mobilize private sector resources at scale. She also called on philanthropic organizations and foundations to strengthen partnerships with multilateral development banks, championing innovation as a vehicle to drive greater impact.

The summit also spotlighted Africa’s urgent climate financing needs. While the continent requires $2.7 trillion by 2030 to meet its climate action goals, it currently receives only 3.6% of global climate finance despite contributing minimally to global emissions. In response, the African Development Bank is scaling up initiatives such as the Alliance for Green Infrastructure in Africa, which accelerates investment in sustainable, bankable infrastructure projects.

A key highlight was the progress of Mission 300, an initiative aimed at providing electricity access to 300 million Africans by 2030. The Bank, in collaboration with the World Bank and other partners, has committed $18.2 billion to this effort, reinforcing its role as a leader in infrastructure financing.

Senior Bank leaders reinforced Africa’s shift from dependency to self-reliance. Vice President for Regional Development, Integration, and Business Delivery Nnenna Nwabufo emphasized the need for strong partnerships instead of aid, calling for large-scale investments that foster resilience and sustainable growth. Vice President for Private Sector, Infrastructure, and Industrialization Solomon Quaynor pushed for faster infrastructure development timelines, stressing that Africa cannot afford to wait a decade for project completion.

Leila Mokaddem, the Bank’s Director General for Southern Africa, emphasized that Africa’s green transition must be inclusive. With 600 million people still lacking electricity, she stressed that the transition must align with industrialization and job creation. The Bank’s Jobs for Youth in Africa strategy, targeting 25 million jobs and green economy training for 50 million youth by year-end, aligns with this vision.

Key outcomes from the summit included the endorsement of public development banks’ role in shaping the global financial system, steps toward recognizing cultural industries as viable investment classes, and a new coalition between development banks and civil society to ensure that financing directly benefits communities.

Agence Française de Développement CEO Rémy Rioux noted the significant progress in positioning public development banks as a critical financial asset class, underscoring innovation, commitment, and shared values as key drivers. Boitumelo Mosako, CEO of the Development Bank of Southern Africa, highlighted Africa’s growing economic influence, with 34% of summit delegates hailing from the continent.

Following FiCS, the Fourth Finance for Development Conference, organized by the United Nations and the Spanish government, is set to take place in Spain later this year. The discussions will build on FiCS outcomes, focusing on reshaping international financial frameworks to better support global development objectives.