NAIROBI, Kenya— President William Ruto has called for a shift in how global debt systems are structured, urging international financial leaders to adopt a more development-oriented approach to public debt.
Speaking during the 4th International Conference on Financing for Development (FfD4) in Seville, Spain, President Ruto emphasized the urgent need for a reimagined sovereign debt framework that supports growth rather than stifles it.
“I also welcome the focus on debt liquidity and the cost of capital,”he said.
“There is now consensus on the need for a development-oriented sovereign debt architecture where public debt is an instrument for development, not a trap for distress.”
Ruto’s remarks come amid growing concern over rising debt levels across the Global South, with countries like Kenya facing increasing pressure from lenders and limited fiscal space for investment in critical sectors such as health, education, and infrastructure.
The head of state highlighted the importance of lowering borrowing costs to unlock economic potential and reduce financial vulnerability for developing nations.
According to Ruto,the move aligns with a broader push by African leaders and global development advocates to reform international financial institutions and ensure they better serve the needs of emerging economies.
The FfD4 conference in Seville brings together world leaders, economists, and development financiers to address persistent gaps in global development financing and propose solutions that can enable equitable and inclusive economic growth.