The 4th Financing for Development Conference-Contribution of the IMF to the International Financing for Development Agenda
Policy Papers, June 5, 2025
Source details
- Canonical URL
- The 4th Financing for Development Conference-Contribution of the IMF to the International Financing for Development Agenda
Other formats
Bibliographic details
- Published: June 5, 2025
- Series: Policy Papers
- DOI: https://doi.org/10.5089/9798229013208.007
Context and Executive Summary
- Publication date: June 5, 2025
- Series: Policy Paper No. 2025/022; Issue: 022; Volume: 2025; Pages: 101
- DOI: https://doi.org/10.5089/9798229013208.007
- ISBN: 9798229013208; ISSN: 2663-3493
- Central point: A series of major economic shocks since 2020 has compounded longstanding development challenges, with low-income and fragile countries affected the most.
Major Findings: Shocks, Trends, and Heterogeneity
- Major shocks since 2020 cited as drivers of deterioration:
- The negative economic impact of the COVID-19 pandemic.
- Spillovers from the war in Ukraine.
- Tightening of international financial conditions after 2022.
- Recent developments and ongoing risks:
- Some adverse factors subsided since 2023.
- Escalation of trade tensions at the beginning of 2025 has negatively affected global growth and international financial conditions, producing elevated uncertainty and significant downside risks.
- Natural disasters, climate and demographic challenges, geopolitical tensions, political instability, and conflicts are expected to add further challenges.
- Some developments—specifically artificial intelligence and digitalization—may be beneficial.
- Heterogeneity across developing countries:
- Developing countries share characteristics but exhibit increasing heterogeneity in economic conditions and exposures to risks.
- This heterogeneity calls for appropriate differentiation in countries’ policy and reform agendas and in international support.
- Particular attention is needed for the poorest and fragile countries.
Subjects and Keywords (as listed)
- Subjects: Anti-money laundering and combating the financing of terrorism (AML/CFT), Crime, Development, Development assistance, Foreign aid, Public debt, Sustainable Development Goals (SDG)
- Keywords: addressing debt vulnerability, Anti-money laundering and combating the financing of terrorism (AML/CFT), debt challenge, debt restructuring process, Development assistance, Global, IMF CD delivery, IMF-World Bank LIC-DSF, Sub-Saharan Africa, Sustainable Development Goals (SDG)
Implications for Policy and International Support
- Differentiated policy and reform agendas are required to reflect country heterogeneity.
- International community support should be tailored, with priority attention to the poorest and fragile countries.
- Policy responses should account for:
- Managing fallout from trade tensions and tighter financial conditions.
- Addressing vulnerability to natural disasters, climate, demographic shifts, geopolitical tensions, political instability, and conflicts.
- Leveraging potential benefits from artificial intelligence and digitalization where appropriate.
Publication and Access Notes
- Format: Policy Paper
- Stock No: PPEA2025022
International Monetary Fund. Strategy, Policy, & Review Department "The 4th Financing for Development Conference-Contribution of the IMF to the International Financing for Development Agenda", Policy Papers 2025, 022 (2025).
Content in this bundle
- Policy Paper