Foreign aid is no longer a viable solution for Africa’s growing development needs, Claver Gatete, UN Under-Secretary-General and Executive Secretary of the Economic Commission for Africa (ECA) has said
A statement issued by UNECA quoted Gatete as saying that the continent’s annual Sustainable Development Goal (SDGs) financing shortfall has reached $1.3 trillion.
Gatete made the remark on the margins of the 2025 High- Level Political Forum on Sustainable Development that was held in New York, USA.
The executive secretary said African leaders need to execute structural reforms to expand domestic resource mobilisation, build regional value chains and shift away from exporting raw commodities.
“Aid won’t close the gap. We must stop exporting raw materials and importing poverty,” Gatete said
He called for greater investment in manufacturing, green industries and youth-led enterprises while noting that more than 80 percent of Africa’s exports remain unprocessed.
Gatete further reiterated ECA’s support for the creation of an African Credit Rating Agency, arguing that current international rating practices distort risk and restrict access to affordable capital.
He said it is mandatory for African countries to scale blended finance mechanisms, issue local currency bonds and digitize tax and revenue systems to boost efficiency and compliance.
The event, co-hosted by the Government of Uganda and the ECA, focused on how to translate the Kampala Declaration,adopted at this year’s Africa Regional Forum on Sustainable Development (ARFSD), into concrete action.
Uganda’s Prime Minister Robinah Nabbanja said the continent was “dangerously off track” but highlighted progress made in her country, including reductions in maternal mortality, gains in gender equality and increased national budget allocations linked to the Sustainable Development Goals.
“The Kampala Declaration is practical,” said Nabbanja adding “We’re proud to host this conversation and to take it forward in terms of implementation.”
She said despite this, debt pressures, limited access to concessional finance and the high cost of capital continue to challenge many African economies.
