The United Nations (UN) in Africa has urged the continent to find self-sustainable measures for development finance in a bid to counter the suspension of aid from the United States.

Claver Gatete, UN Under-Secretary-General and Executive Secretary of Economic Commission for Africa, said the next five years to 2030 must be marked by bold leadership, decisive policies and strengthened partnerships that will place Africa on a trajectory of sustainable prosperity.

Gatete highlighted several structural vulnerabilities restraining Africa’s progression, including the lingering impacts of COVID-19, climate shocks, persistent conflicts, geopolitical tensions, and an escalating debt burden that currently stands at 64.3% of GDP.

He said that such a high debt ratio severely narrowed the fiscal space for crucial investments in vital sectors such as education, health, and infrastructure.

Furthermore, Gatete said Africa’s average GDP growth, since 2019 has hovered around 3%, which was far below the 7% needed to achieve SDG 8 on work and economic growth.

To reverse this trend, Gatete said Africa must move beyond diagnosing its challenges to implementing bold and actionable solutions.

“In light of current global developments, it is clear now that aid can no longer be considered a reliable or sustainable solution, and traditional financing models are increasingly misaligned with Africa’s development aspirations,” Gatete said.

“At this critical moment for Africa, we have no choice but to look inward and take bold, transformative actions anchored in evidence, innovation and inclusivity, including investing in the capacity of our people and institutions, to turn things around.”

Gatete was speaking at the 11th session of the Africa Regional Forum On Sustainable Development (ARFSD-11) in Kampala, Uganda.

He warned that out of 144 measurable SDG targets, only 10 were on track, while 106 were progressing too slowly, with 28 regressing.

Gatete laid out a clarion call for Africa to rethink its approach towards achieving Sustainable Development Goals (SDG) and African Union (AU) Agenda 2063.

Key among the proposed interventions are four strategic pillars: scaling up domestic resource mobilization, de-risking economies through capital market development, expanding access to affordable finance, and leveraging the African Continental Free Trade Area (AfCFTA).

This alarming trend underscored the urgent need for actionable solutions rather than mere diagnoses of the continent’s challenges.

BUSINESS REPORT