2 weeks Ago By Ojochenemi Onje
The Intergovernmental Group of 24 (G24) has called for stronger international support for developing economies as they grapple with mounting debt burdens, global financial tightening, and trade uncertainties. At a press conference held during the ongoing International Monetary Fund (IMF) and World Bank Spring Meetings on Tuesday in Washington DC, key G24 leaders urged multilateral financial institutions to step up their efforts to back vulnerable economies, while underscoring the importance of domestic reforms. The panel was chaired by Argentina’s Undersecretary for International Coordination, Candelaria Alvarez Moroni, joined by Nigeria’s Minister of Finance and G24 Vice Chair, Wale Edun; Pakistan’s Federal Minister for Finance and Revenue, Muhammad Aurangzeb, and Director of the G24 Secretariat, Ayabo Masha.
Read also: Why African economies must move from commodity dependency — Ezekwesili Moroni described the current global economic climate as one of “great volatility and uncertainty,” noting that many emerging and developing economies (EMDEs) are struggling to balance fiscal pressures with critical development and climate goals. “Governments are being forced to choose between servicing debt and investing in their people. We are at a crossroads, and the global system must respond”, he said.
The G24 stressed that many of its member countries particularly those rich in transition-critical natural resources are facing significant challenges in accessing funding for climate adaptation, energy transition, and infrastructure. In the absence of strong private sector financing, they rely heavily on development finance institutions like the World Bank and IMF. “But development finance is not always fast or sufficient.
The need to scale up climate financing is urgent”, he added. Ayabo Masha noted that while countries such as China, India, and Brazil had achieved remarkable economic growth over the past two to three decades, thanks to visionary leadership and bold policy reforms, many others are still trapped by weak macroeconomic fundamentals and limited access to affordable financing. A key point of discussion was the need for reform of the G20’s Common Framework for debt restructuring.
While some countries have benefitted from it, G24 representatives highlighted persistent issues -chief among them, delays in the process and the exclusion of private creditors. “The process takes too long. Countries are left in limbo, unable to access international markets or make strategic fiscal decisions because of the uncertainty.
We’ve made this concern known”, Masha said. She also called for more active participation from private lenders to make debt workouts more effective and inclusive. Addressing a question from Arise TV’s Rufai Oseni on Argentina’s austerity measures, Quirino acknowledged the social cost of reforms but emphasized their necessity.
“We inherited a 55% poverty rate. Within 15 months, we reduced poverty to 38%, raised real wages for 10 straight months, and reversed a two-and-a-half-year recession just two months after implementing major fiscal consolidation”, he said. He revealed that the government slashed the fiscal deficit by five percentage points of GDP in a single month, one of the steepest adjustments ever recorded globally.
Despite concerns that such a move would deepen recession, the Argentine economy rebounded quickly. Moroni also claimed that the administration doubled social assistance in real terms while maintaining a financial surplus. “Ironically, we doubled spending, but the poorest received three times more support.
That shows how much corruption and inefficiency plagued our previous welfare system”, he explained. Read also: 10 African economies expected to struggle the most in 2025 On his part, Wale Edun reiterated the importance of global institutions in maintaining financial stability, noting that the IMF and World Bank remain vital in helping countries manage shocks and rebuild stronger economies. He also emphasized that the Bretton Woods institutions remain central to global financial stability.
“At this time of heightened global uncertainty, what we have heard from them is a readiness to help countries navigate these challenges and encourage resilience. “We need these institutions to be more responsive, more flexible, and more ambitious in their support,” he said. The G24 communique pointed to the need for comprehensive reforms within the Bretton Woods system, including the IMF’s surcharge policy, as well as changes at the World Bank to reduce borrowing costs and expand local currency lending.
The group noted that while developing countries are taking bold steps through tough reforms and sustainable growth strategies, global institutions must respond with fair, timely, and inclusive support to ensure these efforts translate into lasting progress. “Emerging economies are not looking for handouts. We are doing our part.
Now we need a global financial system that works for everyone”, said Masha..
