GROUP OF 77
GENEVA

STATEMENT OF THE G77 AND CHINA AT THE 77TH EXECUTIVE SESSION OF THE TRADE AND DEVELOPMENT BOARD
(Geneva, 3 February 2025)

Item 2: Interdependence and development strategies in a globalized world

Mr. President, Excellencies, Distinguished Delegates,

1. I have the honor to deliver this statement on behalf of the Group of 77 and China.

2. Allow me first to appreciate the preparation and presentation of the Trade and Development Report 2024. We commend UNCTAD for its critical analysis of global economic trends, particularly as they relate to the Global South.

3. The report confirms what our countries have long been experiencing a "low-growth trap", exacerbated by trade disruptions, climate challenges, and increasing economic inequalities, which puts a disproportionate pressure on us. Therefore, in order to escape this unsustainable trajectory, we require a fundamental rethinking of development policies.

4. The report highlights that the world economy is struggling to recover from recent crises, with developing countries facing sluggish growth, debt distress, and fiscal constraints. Despite technological advancements and multipolar trade patterns, many of our economies remain marginalized in global value chains.

5. Regarding the very important topic of debt and financial crisis, we would like to reiterate that an unreformed global financial system severely constraines our possibility to advance in our development. We need to urgently find ways to advance in debt relief, restructuring mechanisms, and increased concessional financing. Additionally, we need to tackle external challenges to better mobilize domestic resources. In this sense, we appreciate that the report proposes some policy options on fiscal revenues, long-term financing and tackling of inflation.

6. The report also highlights something that has long been one of our main interests, which is the call for a fair and development-responsive international financial architecture that enables long-term investment in sustainable development.

7. Regarding trade fragmentation and industrial policy space, we concur that the protectionist measures and unilateral trade policies in some advanced economies are further restricting market access for developing countries. We therefore call for a balanced multilateral trade system that ensures fair opportunities for the Global South.

Mr. President,

8. The G77 and China strongly support UNCTAD's call for rethinking development in the current age of uncertainty while reiterating that development should remain at the center of the work of UNCTAD. The path forward must be one of multilateralism, cooperation, and concrete reforms to ensure a just, sustainable, and inclusive global economic system.

9. The G77 and China strongly support the invaluable work of the Secretariat as a whole, particularly the GDS. We urge Madam Secretary-General to further strengthen this division, especially at this critical juncture marked by cascading challenges.

10. Furthermore, the continuation of flagship reports, such as the Trade and Development Report, is highly sought after and deserves commendation.