Deputy Governor Prof. Augustus Nuwagaba has called on governments and international organizations to act decisively to secure sustainable funding that can protect the economic stability of developing countries. He warned that without meaningful reforms, the goals of global development may remain out of reach.
Prof. Nuwagaba pointed out that many developing nations are trapped in a cycle of growing debt and limited financial flexibility, restricting their capacity to invest in key areas such as health, education, infrastructure, and climate resilience.
“Development financing is not a choice—it is a necessity,” he emphasized, highlighting the urgent need to reshape global financial systems to better serve emerging economies.
He stressed that achieving the Sustainable Development Goals demands creative and forward-thinking financing strategies. “To make real progress, we must rethink how global finance works and ensure funds reach the nations that need them most,” Prof. Nuwagaba stated.
The Deputy Governor recommended solutions like debt-for-development swaps and blended finance. Debt-for-development swaps allow countries to convert portions of their debt into funding for essential projects such as schools, hospitals, and climate initiatives. Blended finance combines public and philanthropic resources to attract private investment into sustainable ventures.
“These approaches turn debt from a challenge into an opportunity for growth,” he said, adding that they help channel resources toward building stronger, more resilient communities.
His remarks followed the 4th International Conference on Financing for Development in Seville, Spain, where world leaders endorsed the Seville Commitment. The framework aims to close the $4 trillion annual funding gap for developing economies and calls for reforms such as a Debt Pause Clause in crises, expanded multilateral bank lending, and improved domestic resource mobilization.
Prof. Nuwagaba also highlighted the role of the private sector in promoting sustainable development. By adopting Environmental, Social, and Governance (ESG) standards, private capital can become a powerful driver of progress. He also suggested mechanisms like carbon or financial transaction taxes as additional sources of funding for critical development programs.
He encouraged international institutions to provide long-term financial support and technical guidance to countries pursuing climate adaptation and inclusive growth. “Investing in sustainable development is not just the right choice—it is economically smart,” he noted.
In conclusion, Prof. Nuwagaba called for collaboration among governments, civil society, and global partners to reform financial systems and mobilize resources that directly support the Sustainable Development Goals. “By working together, we can create a fair, sustainable, and prosperous future. This is a shared responsibility and a shared opportunity,” he said.
