LDC challenges test global solidarity, credibility of multilateralism: PM's adviser

Presenting five-pronged priority agendas for urgent action, Prime Minister's Adviser on Finance and Planning Rashed Al Mahmud Titumir today (13 July) said the challenges faced by LDCs are a test of international solidarity and the credibility of multilateralism.

"The LDC Group stands ready to work with all partners to ensure that the mid-term review becomes a turning point, one that restores momentum, rebuilds trust, and delivers on the promise of sustainable development leaving no one behind," he said.

Titumir was speaking at the general debate of the high-level segment of the ECOSOC on behalf of the Group of Least Developed Countries (LDCs) at the UN General Assembly Hall in New York.

The group reaffirmed its unwavering commitment to the 2030 Agenda for Sustainable Development and the Doha Programme of Action, which together constitute the guiding framework for advancing sustainable, resilient development and smooth graduation in LDCs.

"As we enter the final stretch to 2030, progress towards the SDGs remains alarmingly off track. For the LDCs, the situation is even more critical," said Titumir, noting that vulnerabilities, aggravated climate change, rising debt burdens, constrained fiscal space, declining ODA, widening digital divides and limited access to affordable finance continue to impede their development efforts.

He said these challenges not only undermine implementation of the 2030 Agenda but also put at risk the achievement of the DPoA, including its goal of enabling additional LDCs to achieve sustainable and irreversible graduation by 2031.

Currently, 14 LDCs are at different stages of the graduation process and continue to require sustained international support.

Due to unprecedented political, macroeconomic, environmental and external shocks, Bangladesh and Nepal have requested a three-year extension of their preparatory period until November 2029. 

For graduating LDCs navigating complex domestic and global challenges, the additional time is a strategic necessity to advance macroeconomic stability, implement Smooth Transition Strategy (STS), and strengthen critical reforms, Titumir said.

In this context, he said, the effective implementation of the DPoA is essential to addressing the structural constraints facing LDCs and strengthening resilience, productive capacity and long-term sustainable development.

"The DPoA Mid-Term Review, to be held next year in Doha, provides a critical opportunity to strengthen global partnerships and accelerate implementation of agreed commitments," said the adviser.

He said the Group urges participation at the level of Heads of State and Government, Ministers, and Leaders of international financial institutions and development partners to ensure that the Mid-term Review produces transformational and implementable outcomes.

Five-pronged priority agendas for urgent action

First, Titumir said, adequate, predictable and affordable concessional financing must be significantly scaled up to address mounting debt vulnerabilities, alongside greater investment in education, health, productive capacities, resilient infrastructure, creating jobs, eradicating poverty, increasing social security and essential services.

Second, he said, the international financial architecture must be reformed to better reflect the structural vulnerabilities of LDCs through expanded access to concessional resources, debt suspensions, sustainable debt solutions and more equitable financing arrangements.

Third, Titumir said, climate finance must be accessible, predictable and commensurate with vulnerability.

"Support for adaptation, resilience-building, energy transition, and the Loss and Damage Fund should remain additional, adequate and readily accessible. Enhanced international cooperation is also essential to strengthen energy security through investment in clean energy and resilient infrastructure," he said.

Fourth, the adviser said, the international community should preserve and expand market access for LDCs by reversing protectionist trends and ensuring transparent, simplified and development-friendly rules of origin.

Fifth, he said, stronger international cooperation is needed to bridge digital and technological divides through enhanced technology transfer, capacity-building and digital transformation, enabling LDCs to harness innovation and accelerate sustainable development.