Four ways to tackle developing countries’ debt distress

If President Macron’s forthcoming global financial summit is to matter, it must address debt and climate finance – here’s how, write Creon Butler and Lilia Couto.

The World Today Published 2 June 2023 Updated 6 May 2024 4 minute READ

Lilia Caiado Couto

Former Research Fellow, Global Economy and Finance Programme

Emmanuel Macron, the French president, will host the Summit for a New Financial Pact in Paris on June 22-23. Announced at COP27 last year, the summit aims to tackle the impact of the climate, energy, health and economic crises on developing economies.

Macron devised the summit in part as a response to the disquiet among developing economies at the cost of western support for Ukraine’s resistance to Russia’s invasion.

The developing world fears that this spending will limit the West’s willingness to support them in dealing with the fallout from the war, as well as longer-term development needs. As of February 2023, financial, humanitarian and military support to Ukraine from western countries stood at €151 billion.

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