Landlocked Countries Face Urgent Need for Sustainable Financing and Partnerships

Achieving sustainable development is a complex challenge, particularly for landlocked developing countries, which face significant financing gaps and inadequate infrastructure. Speakers at the Third United Nations Conference on Landlocked Developing Countries emphasized the need for adequate financing, effective partnerships, and strengthened global partnerships to address these challenges. Co-Chair Hojamyradov of Turkmenistan highlighted the importance of a global approach to financing, emphasizing that "only a firm commitment to multilateralism, international cooperation, and global solidarity" can address global challenges effectively. Landlocked developing countries must contend with limited domestic savings, declining official development assistance (ODA), and constrained fiscal space, exacerbated by climate shocks and external debt pressure.

Key Takeaways:

• Landlocked developing countries face significant financing gaps, with limited domestic savings, declining ODA, and constrained fiscal space.
• Speakers emphasized the need for a global approach to financing, strengthened global partnerships, and effective partnerships to address these challenges.
• Co-Chair Hojamyradov of Turkmenistan highlighted the importance of fulfilling obligations to support the full implementation of the 2030 Agenda for Sustainable Development.
• Satu Suikkari-Kleven, Ambassador for UN Peace and Security and Global Partnerships at the Ministry of Foreign Affairs of Finland, stressed the potential of enhancing domestic resource mobilization, particularly taxation, to finance the SDGs.
• Ousmane Fall, Director of the African Development Bank, underscored the need for a reformed international debt architecture, which includes governance reforms, effective debt relief, restructuring mechanisms, and enhanced debt management.
• Trudi Hartzenberg, Executive Director of the Trade Law Centre for Southern Africa, noted the importance of developing trade-related infrastructure, facilitating cross-border production linkages, and creating value chains to add value to Africa's resources.
• Speakers emphasized the need for institutional investment in Africa, including reforming global risk assessment to reduce the "Africa risk premium", which costs the continent more than $75 billion annually.
• Par Liljert, Director of the New York Office of the International Organization for Migration (IOM), highlighted the potential of leveraging migrants' remittances, which amount to $700 billion annually, to finance growth, investment, and entrepreneurship in low- and middle-income countries.

Statistics:

• Landlocked developing countries face significant financing gaps, with limited domestic savings, declining ODA, and constrained fiscal space.
• The "Africa risk premium" costs the continent more than $75 billion annually.
• Migrants send home $700 billion annually in remittances, which can lift recipients out of poverty and finance entrepreneurship and investment.
• Finland continues to devote 1 percent of its GDP to ODA, exceeding the 0.7 percent UN goal.

Sources:

• The Third United Nations Conference on Landlocked Developing Countries.
• Hojamyradov, H. (Co-Chair, Turkmenistan). "Provision and mobilization of resources, and strengthened global partnerships for sustainable development in landlocked developing countries".
• Suikkari-Kleven, S. (Ambassador, Finland). "Enhancing domestic resource mobilization, particularly taxation, to finance the SDGs".
• Fall, O. (Director, African Development Bank). "A reformed international debt architecture for landlocked developing countries".
• Hartzenberg, T. (Executive Director, Trade Law Centre for Southern Africa). "Developing trade-related infrastructure and facilitating cross-border production linkages".
• Liljert, P. (Director, International Organization for Migration). "Leveraging migrants' remittances for growth, investment, and entrepreneurship in low- and middle-income countries".