Distinguished Co-Facilitators,
Colleagues,

I have the honor to deliver these remarks on behalf of the Group of 77 and China. At the outset, let me thank the co-facilitators for their hard work and efforts in the preparation of the zero draft.

The Group believes that the zero draft presents a very good basis for further discussions and took on board some of the suggestions that we have shared earlier. Therefore, our comments today will try to strengthen existing elements in the zero draft but will also reiterate the elements that we consider are relevant and need to be incorporated in the text.

In view of the time constraints, I will only highlight certain aspects of our inputs. A detailed submission will be made to you in writing.

Co-Facilitators,

1) In the first preambular paragraph, we propose to recognize that the world is running out of time to eradicate poverty. We reiterate that the eradicating poverty in all its forms and dimensions is greatest global challenge and an indispensable requirement for sustainable development. Therefore, we also propose also include this recognition in the cross-cutting issues chapter.

2) We are deeply concerned of the growing SDG financing gap that has risen to 4 trillion USD annually. For that reason, we propose to include this data and support the call on the international community to take the appropriate actions to implement the SDG Stimulus in a timely manner which is of the upmost importance for developing countries and the implementation of the SDGs.

3) We are proposing as paragraph 3 bis a strong political call in line with the momentum to recognize that achieving the Sustainable Development Goals is intrinsically linked to the successful implementation of the Addis Ababa Action Agenda on Financing for Development. We emphasize that without additional and timely financing, the SDGs will remain out of reach by 2030. In this regard, we stress the urgent need for adequate mobilization of resources for the effective implementation of the 2030 Agenda, especially through a comprehensive reform of the international financial architecture.

4) We are resubmitting as paragraph 4 bis a reference to the application of the principles of special and differential treatment and common but differentiated responsibilities, as they are key to assist developing countries to transition towards diversified and higher value-added activities in a world facing widening inequality and increasing natural disasters and environmental impacts.

5) In the cross-cutting issues chapter, the Group would like to include a paragraph on the need to enhance investments in areas such as food production to improve food security and nutrition of developing countries. In addition, we are proposing a paragraph on the importance of investing in promoting inclusive and sustainable industrial development to effectively address major challenges.

6) In paragraph 9, for the Group is key to include the urgent need to continue to scale up the provision of climate finance by developed countries for developing countries and reiterate that such finance is different from Official Development Assistance (ODA). We are submitting proposals to streamline this paragraph to reflect the commitments on climate finance under the UNFCCC.

7) In paragraph 10, we have submitted amendments to recognize among other elements the urgent need to scale up the provision, and mobilization of new, additional, predictable and easily accessible biodiversity finance by developed countries to developing countries, including for the full implementation of the Convention on Biological Diversity and its Kunming-Montreal Global Biodiversity Framework. We urge developed countries to fulfil their commitments under the Convention on the provision of financial resources for developing countries, in line with articles 20 and 21 thereof.

8) In the domestic public resource chapter, we note that while our proposal was taken on board our proposals, the Group believes some important elements in some paragraphs are still missing. We, therefore, intend to reintroduce them. While some paragraphs need to be tweaked to align them with the source from which the language was drawn, some paragraphs need to be deleted entirely.

9) We believe that paragraph 15 as drafted by the co-facilitators is unclear. The Group has therefore streamlined the paragraph based on language from paragraph 19 of last year's outcome document. The paragraph should therefore read as follows: "We recommit to using the fiscal system to reduce poverty and inequalities and align it with the Sustainable Development Goals taking into account national priorities and circumstances".

10) We believe the first sentence in paragraph 17 should align more tightly with the source of the language, that is page 40 of 2024 FSDR. The first sentence of the paragraph should therefore read as follows: "We acknowledge that globalization and digitalization have fundamentally altered the taxation landscape, motivating more focus on international taxation in the financing agenda". Similarly, we believe that the last part of the paragraph should also align with the source of the language. Therefore, the sentence should read as follows "We reiterate that international tax rules must respond to the needs, priorities and capacities of all countries and appropriately address the ways in which modern markets operate and business is done, as part of the reform of the international financial architecture. (Source: 2024 FSDR, p. 40; A/RES/78/230, PP 14)

11) We believe there is the need to strengthen paragraph 18, by reintroducing the Group's language which stresses that the current international tax governance structures need considerable improvements.

12) On paragraph 20, the Group requests the deletion of references to the Global Forum on Transparency and Exchange of Information for Tax Purposes. We believe that it is important to maintain a broad reference to international tax and financial transparency instruments and mechanisms without singling one mechanism as this may lead a listing of other instruments and mechanisms.

13) In the chapter on domestic and international private business and finance, the G77 and China believes that it is important to ensure balance between international commitments to improve access of developing countries to private finance and FDI flows with the national imperative to ensure a dynamic domestic business environment.

14) The Group also wants to reiterate the need for strengthened international cooperation to explore the full range of policy tools to overcome impediments to private investment for sustainable development, as the commitment to take steps to ensure and improve the access MSMEs to finance.

15) In the same chapter, the Group included an additional paragraph on the unbalanced growth in investments particularly in clean and renewable energy, that is mainly concentrated in developed countries. So, the Group would like to reiterate our call to include an additional paragraph as submitted in our written inputs.

16) In the chapter on international development cooperation, the Group reaffirms the importance of ODA as the main channel for international cooperation. In this regard, ODA remains essential as a catalyst for financing sustainable development and advancing the achievement the SDGs in developing countries in line with national plans and priorities.

17) Moreover, unfulfilled ODA commitments continue to exacerbate the development challenges faced by developing countries, including poverty, hunger, health, education, and the environment. In this regard, the Group also notes that GNI in ODA has rarely been met in more than 50 years, and that a significant portion of ODA is currently dedicated to in-donor services to refugees, which is not consistent with a sustainable approach to financing for development.

18) The Group also reaffirms the importance of North-South cooperation as it remains a fundamental catalyst to sustainable development. As North-South cooperation is the main channel of development financing, the international community must uphold the principle of "common but differentiated responsibilities" (CBDR) and advance the key role of North-South cooperation in financing sustainable development, strengthening capacity-building and technology transfer.

19) The Group stresses the significance of scaling up concessional financing resources to support sustainable development in developing countries through various areas, including the fulfillment of ODA commitments by developed countries, strengthening the role of MDBs, and enhancing climate finance.

20) Lastly, the Group emphasizes the need to include language regarding the decision on the establishment of a high-level group of experts as a fundamental step to advance the selection of multidimensional indicators to complement or go beyond GDP.

21) In the section concerning international trade as an engine for development, it is crucial for the text to emphasize the necessity of facilitating the accession of developing countries to the World Trade Organization (WTO). Such inclusion recognizes the substantial benefits that their accession would bring to their swift and comprehensive integration into the multilateral trading system.

22) While the group acknowledges the reference to the need for WTO reform, we believe it would be advantageous for the text to explicitly mention the restoration of the Appellate Body. This addition is imperative given the pressing need to address current and future challenges in international trade.

23) Additionally, we express concern over the omission of certain forms of support for agricultural producers that distort trade or pose risks to nature and health. It is imperative to rectify and prevent trade restrictions and distortions in global agricultural markets.

24) In paragraph 50, we welcome and support the inclusion of paragraph 30 of the 2030 Agenda for Sustainable Development. The call to eliminate any unilateral economic, financial or trade measures has been a consistent request of the Group in this process. We have proposed some minor changes to make this paragraph more action oriented. At the same time, we request the deletion of the brackets as it is agreed language adopted by all Member States.

25) As a Group, we are gravely concerned by the ongoing neglect to acknowledge the harmful effects of unilateral coercive economic measures on the endeavors of developing countries to realize the objectives of the 2030 Agenda. Immediate action is imperative to eradicate these measures and rectify imbalances within international financial institutions. Such actions defy the principles of the UN Charter and international law, posing threats to trade and investment freedoms. We have resubmitted language in this regard in addition to the current paragraph 50.

26) In the addressing systemic issues chapter, the Group supports the paragraphs on the reform of the international financial architecture, as well as the references to the international financial institutions and multilateral development bank reform. We reiterate that the international financial architecture, including its business models and financing capacities, must be made more fit for purpose, equitable and responsive to the financing needs of developing countries, to broaden and strengthen the voice and participation of developing countries in international economic decision-making, norm-setting, and global economic governance.

27) In paragraph 61, we have submitted some additions to recognize that the selection of heads, management and staff of the international financial institutions should also be based on competence and equitable geographical representation.

28) In paragraph 62, we would like to request the source of the affirmation that the international community has exceeded the USD 100 billion global ambition of voluntary contributions in SDRs. We have presented alternative language as we note with concern that progress in re-channeling has been slow. Therefore, we are submitting language calling on all countries to urgently redeem their unfulfilled pledges to re-channel $100 billion in SDRs in a timely manner, including through MDBs, and encouraging developed countries to make additional commitments. We also propose to recognize the importance of catalyzing the potential of special drawing rights as a source to finance sustainable development.

29) In paragraph 63, while we note the Chair's statement in 2023 at the forty-eighth meeting of the International Monetary and Financial Committee, we would like request to the IATF to report to the ECOSOC on the status of this discussion. The Group also proposes to urge the IMF to suspend the surcharge policy charge with immediate effect.

30) In this chapter, we propose a paragraph calling for the reduction of borrowing costs for developing countries by establishing a public credit rating agency or modifying the role of existing credit rating agencies to foster a more development friendly investment environment.

31) In the science, technology, and innovation (STI) section, the Group encourages members to consider more action-oriented language that acknowledges the imperative role that inclusive and sustainable STI can play in facilitating sustainable development. We would like to reiterate some of our earlier proposals to strengthen this section.

32) At the outset, we would like to emphasize the need for an enabling international environment for STI that draws from a variety of existing sources of science and innovation, and to reaffirm the importance of investing in and cultivating STI development.

33) The Group firmly believes that an open, fair and inclusive environment unhindered by unfair practices is vital for scientific and technological development. We have proposed a new paragraph to reflect this precondition, drawn from language in the STI resolution.

34) While we note the co-facilitators' efforts to reference the digital divide, it is important to underscore that this divide exists both within and between countries, and in the interest of strengthening the draft with more action-oriented language, we propose outlining the multidimensional approach we had earlier agreed to in the ICT resolution, to strengthen efforts to bridge the digital divide.

35) In the data, monitoring and follow up section, while we recognize the co-facilitators' attempts to draw new proposals from the 2024 Financing for Sustainable Development Report (FSDR), we would like to seek clarification on the envisioned "financing indicator framework", including what it constitutes, who determines its composition, and how it is will interact with existing indicator frameworks used by international organizations. Clarity on its specific role and function will help member states situate it within the ecosystem of data collection and monitoring, and better assess its value. Also, given the current lack of clarity in paragraph 76 on how member states would engage 'partners' on data governance mechanisms, we propose deleting language on such engagement.

36) Lastly, on paragraph 81, the Group is of the view that the 10th FFD Forum in 2025 should not produce intergovernmentally agreed outcomes and decisions, given its proximity to the 4th International Conference for Financing for Development (FFD4). In view of the extraordinary circumstances of the FFD4 being held in the same year and that negotiations on the FfD4 outcome document would likely be underway at the time of the 10th FFD Forum, as well as noting the resource constraints on delegations due to the parallel processes on FFD that are likely to touch on similar substantive issues, the Group believes that it would be more useful for the 10th FFD Forum to function as an additional platform for members to exchange views, rather than be geared towards the adoption of an outcome document.

37) In the Debt and Debt Sustainability Chapter, we recognize that the debt challenges of developing countries remain elevated and constrain progress towards the Sustainable Development Goals and we appreciate that language in this regard have been proposed in the zero draft in paragraph 51.

38) The Group considers that additional language that emphasize the need for multilateral debt mechanism to fully address sovereign external debt and provide an effective, efficient, equitable and predictable mechanism for managing debt crises in view of the development needs of developing countries, as well as participation of private creditors in debt treatment, will improve the section.

39) The Group appreciates having the paragraph 53 based on the SDG Summit Political Declaration, and also recognize the important role of debt relief, including debt cancellation, and debt restructuring as debt crisis prevention, management and resolution tools. Additional language, based on agreed language, will be put forward in this regard.

40) On paragraph 54, the Group appreciates the proposal of the co facilitators. Specific comments will be put forward, however we would like to emphasize that more needs to be done to include responses to the needs of countries not covered by current initiatives, such as the Common Framework for Debt Treatment beyond the Debt Service Suspension Initiative.

41) On paragraph 55, regarding debt swaps the Group would like to stress the importance of enhancing capacity building for developing countries for them to be able to benefit from their use, as well as reaffirming the urgent need to taking multilateral measures to standardize the use of these mechanisms.

42) On paragraph 56 the Group appreciates this addition on State-contingent debt instrument and considers that these instruments can provide breathing room to countries hit by shocks with direct impact on its GDP growth prospects such as natural disasters or macro-economic shocks.

Thank you.