First meeting of the Council of the Global South Research Center

Dear Mr. Laiming Zhang, Vice President of the Development Research Center of the State Council (DRC) and Chief Vice President of the Center for International Knowledge on Development (CIKD),

Dear Mr. Qingwei Zhang, Vice-Chairman of the Standing Committee of the National People’s Congress,

Dear Carlos Correa, Executive Director of the South Centre,

Distinguished Council members,

Ladies and gentlemen,

Let me begin by extending my heartfelt congratulations on the establishment of the Global South Research Center - a key space for global research, dialogue, and peer learning on development strategies across the Global South.

It is a great honour to be part of this distinguished gathering. I would like to thank the Center for International Knowledge on Development for the opportunity to be part of this group and share our insights from the perspective of UN Trade and Development.

For over sixty years, UNCTAD has been a steadfast partner of the Global South. Our institution was founded as a voice for the aspirations and concerns of developing countries, in their quest for a more inclusive and equitable global economy. And as time went by, the United Nations Conference on Trade and Development became a symbol of an emerging Global South asserting its rightful place in the global economic order and pursuing prosperity for all. That mission continues to guide us today.

In the decades since, the Global South has emerged as a force of transformation in the global economy.

The rise of the South has been both profound and sustained. Over the past thirty years, the Global South’s share of global output increased from 18% to 40%, merchandise exports rose from 25% to 44%, and inward foreign direct investment surged from 30% to 65%.

These shifts have been accompanied by a growing determination for more inclusive frameworks for global economic governance.

At the same time, developing countries have forged stronger partnerships at both regional and international levels, including through platforms such as the G77 and China and BRICS.

In parallel, South-South cooperation has expanded rapidly across a wide range of areas—from trade, investment, and finance to industrial development, the digital economy, and climate action.

Let me put this into trade numbers.

Thirty years ago, the value of goods traded among countries of the Global South stood at approximately $500 billion. By the end of 2023, that figure had soared to $5.7 trillion, reflecting an average annual growth rate of over 9%, significantly outpacing the 5.6% growth in global trade over the same period.

It is also important to note the pivotal role China has played in the rise of the South. China has become the largest export market for many Global South economies, serving as a powerful driver of the South-South trade expansion.

Looking ahead, even greater opportunities lie in strengthening regional value chains through cooperative initiatives focused on green industrial policy, technology transfer, and building national capacities to absorb and adapt innovation.

Yet, we must also recognize that the Global South is not monolithic. It is richly diverse. And it faces many development challenges. External imbalances - such as persistent trade deficits and growing external debt -remain significant obstacles for many developing economies. These imbalances often translate into domestic challenges, particularly in employment and fiscal deficits.

Additionally, several countries have experienced premature deindustrialization - shifting from manufacturing to services before establishing a robust, competitive industrial base. This trend limits their ability to foster forward and backward linkages, diversify away from commodity dependence, and move up the value chain.

These structural challenges are now compounded by the urgency of addressing the climate crisis, high debt levels and rising inequality. And all this is unfolding at a time when the multilateral, rules-based system faces increasing fragmentation, and external financing for green transformation remains scarce.

In this complex and evolving landscape, a rethinking of development strategies is not only necessary; it is imperative.

This is precisely where the Global South Research Center can play a transformative role. With its reach, expertise, and convening power, the Center is well-placed to drive high-quality development research and facilitate meaningful peer learning among developing countries.

The diversity within the Global South raises vital questions about the direction, type and applicability of development strategies, especially in light of current global economic and policy shifts. Sharing policy experiences and learning from one another can help countries design more adaptive and effective strategies tailored to their local realities.

China’s remarkable progress in economic development and poverty alleviation, driven by its reform and opening-up strategy since 1978, offers valuable insights for other developing nations. Likewise, China’s strides in green transformation and its continued support for the Global South, including through training and capacity-building programmes, provide promising models of cooperation.

I very much look forward to our discussions and to contributing to the continued rise and resilience of the Global South. 

Thank you.