Ministers from developing economies urge actions towards a more inclusive global economy through reforms in finance, trade and technology.
Shutterstock/Humphrery | A worker produces glass fiber at an industrial park in Jiangxi, eastern China
In a bid to collectively tackle rising debt, weak investment and widening digital divides, government ministers from the Group of 77 and China (G77) urged stronger multilateral cooperation to drive sustainable growth at the 16th UN Conference on Trade and Development (UNCTAD16) held in Geneva, Switzerland, on 20-23 October.
The bloc, comprising 134 developing countries, is committed to strengthening multilateralism by promoting inclusive and development-focused discussions on issues of global importance.
Referring to the G77's origins at UNCTAD's first quadrennial conference in 1964, speakers underscored the importance of the group as a model for South-South cooperation. Today, that cooperation is taking on new forms, highlighted ministers from several countries, including China, Qatar and Egypt.
“60 years ago, the G77 refused to accept that the global economy’s rules would be written without them,” said UN Trade and Development UNCTAD) Secretary-General Rebeca Grynspan.
“That act of collective assertion changed everything. It created UNCTAD – and it established that development wasn’t something that happened to countries, but something countries could demand, shape and achieve together.”
Old challenges, new urgency
Despite progress in South–South trade, which now equals North-North trade for the first time in three centuries, developing economies face converging crises.
Public debt has reached unsustainable levels, investment in key sectors like renewable energy and infrastructure has declined, while technological divides persist.
UNCTAD data show that developing countries now face a $4 trillion annual financing gap, with many spending more on debt interest than on health or education.
Least developed countries largely remain marginalized, accounting for just 15% of the world’s digitally deliverable services exports, compared to 60% from advanced economies.
"The rules-based system is best to deliver development, but we must acknowledge that it has not delivered for least developed countries," said Baboucarr Ousmaila Joof, Minister of Trade, Industry, Regional Integration and Employment of The Gambia, "So, the multilateral system needs renewal and reform."
Developing economies drive growth but remain constrained
Ms Grynspan noted that the global economic centre of gravity has shifted south and east — with developing countries now driving three quarters of global growth — yet systemic inequities remain.
“While you drive global growth, debt crushes fiscal space in too many of your economies,” Ms Grynspan said, referencing the challenges commonly facing developing countries.
“While you lead in renewable energy deployment, you receive a fraction of climate finance. While your entrepreneurs innovate, digital divides constrain who can participate."
The G77 ministers emphasized the need to reform the international financial architecture, expand access to technology and strengthen productive capacities to ensure no one is left behind.
Making the multilateral system fairer
Following the 60th anniversary of both UNCTAD and the G77 in 2024, the ministers adopted a declaration outlining shared priorities for a more inclusive multilateral system.
“It’s hard to witness the momentum building across the South — the innovation, the growth, the confidence — and not feel genuine hope for what’s possible,” Ms Grynspan said, “Not naive hope that ignores the challenges, but the kind grounded in evidence.”
Under the theme “Shaping the future: Driving economic transformation for equitable, inclusive and sustainable development,” UNCTAD16 provides a platform to align trade, finance, investment and technology behind one goal — making growth fairer, greener and more resilient for all.