TheCable

Stanley Achonu, Nigeria’s country director at ONE Campaign, has called on the World Bank to implement critical reforms to enhance access to sustainable finance by vulnerable countries in Africa.

Achonu made the call in a statement on Saturday, saying vulnerable nations need adequate financing to address global challenges.

“The unprecedented global challenges, including conflict, climate change, the COVID-19 pandemic, and economic crises, continue to fuel inflation, instability, and inequality, trapping millions in extreme poverty and impeding progress, with vulnerable countries bearing the brunt,” he said.

“The financing needs of these nations to address global challenges remain substantial. However, the current global conditions are uncertain, making securing development financing difficult and costly.

“If not urgently addressed, the rising costs of debt faced by these vulnerable countries will continue to consume their budgets, hampering investments in human capital development and potentially pushing more people into extreme poverty.”

Achonu said more than half of low-income countries that are in — or at high risk of — debt distress are in Africa, with 16 million additional people at risk of extreme poverty.

“In Nigeria and across many vulnerable economies, a common thread of increasing pressures and needs juxtaposed with limited capacities is evident,” he said.

“The primary roadblock to progress is access to affordable, sustainable investment and finance. Institutions like the World Bank are crucial in ensuring that disadvantaged countries can readily access funds to address their most pressing needs.

“Introducing innovative approaches to obtain these resources will catalyse global advancement. Urgent leadership in these reforms by the World Bank president is imperative.”

Achonu asked the World Bank to increase the development finance available to African countries to invest in growth and development.

“Loans and grants to low-and-middle-income countries should at least triple to reflect the rapidly increasing needs in the trillions,” he said.

“Set a breakthrough goal to cut the time from proposal to disbursement in half and commit to a radical level of transparency in sharing data and evaluations.

“Understand what leaders and communities in the Global South want from a modernized World Bank and assure low-income countries that funding for fighting extreme poverty remains a priority.

“Bring citizens into decision-making by ensuring that they have the opportunity to measure impact and hold the World Bank accountable for results.”