OXFAMINTERNATIONALMEDIABRIEFING26JUNE2025

FROMPRIVATEPROFIT

TOPUBLICPOWER

FinancingDevelopment,NotOligarchy

0XFAM

Bluepf

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OXFAMINTERNATIONALMEDIABRIEFING26JUNE2025

Adecadeago,theworld'scountriesagreedtoavisionofthecommongood,theSustainable

DevelopmentGoals,andaplantoachievethatvision,theAddisAbabaActionAgenda.Tenyearslater,thateffortisfailing.Nearlyhalftheworld'spopulation-over3.7billionpeople—livein

poverty,whilegenderinjustice,hunger,andotherdenialsofbasichumanrightsarewidespread.Since2015,therichest1percenthavegainedatleastS33.9trillioninwealthinrealterms,

enoughtoendannualglobalpoverty22timesover.Billionaires-roughly3,000people-havegainedS6.5trillioninrealterms,morethantheS4trillionestimatedannualcostofachievingtheSDGs.

Akeyfactorunderminingglobaldevelopmenteffortsisextremeeconomicinequality.Adecadeago,majordevelopmentinstitutionsrecasttheirmissiontofocusonenlistingpowerfulprivateGlobalNorthinvestorstoachievedevelopmentgoals,anideatheWorldBankchiefeconomist

hassincedismissedasa"fantasy."Today,thedevelopmentagendaiscapturedbytheinterestsofwealthyprivateinvestorstoaconsiderabledegree.Despitethesignificantevidencethatthisapproachhasnotworked,cancausemajorharms,andisnotsuperiortopublicfinancing,as

thetraditionalaidsystemcraters,thereisalarmingnewmomentumbehindtheidea.

Anewagendaisneeded-onethatputspublicpowerbeforeprivateprofit.TheupcomingfourthFinancingforDevelopmentConferenceinSevilla,Spainprovidesanopportunityfortransformedmultilateralismthatcanbebuiltonthroughout2025.Countriesthatarewillingtoleadcanmakerealprogresstowardsdevelopmentgoalsbyworkingtogethertotackleextremeinequality.

Countriesanddevelopmentactorsshouldrejectthe"WallStreetConsensus"aroundfinancingdevelopment,andembraceapublicsector-firstapproach.Theycanstartbytaxingthevery

wealthiest-anewglobalsurveyfinds9outof10peoplesupporttaxingthesuper-richtoraisetherevenueneededtoinvestinpublicservicesandclimateaction.Reformstotheinternationalfinancialarchitectureandrestoringaidarealsokey.

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1.EXTREMEINEQUALITYISDERAILINGGLOBALDEVELOPMENT

Adecadeago,theworld'scountriesagreedtoavisionofwhatthecommongoodlookslike-theSustainableDevelopmentGoals(SDGs)-andaplantofinancethatvision-theAddisAbaba

ActionAgenda.Tenyearslater,theSDGsandtheAddisAgendaarefailing.

Ofahostofadmirableaims-suchaseradicatinghungerandextremepoverty,achievinggenderequality,andensuringaccesstohealthcare,education,anddecentwork-asof2024,only16percentoftheSDGtargetswereontracktobemetby2030.2Accordingtorecentestimates,

morethan3.7billionpeople(nearlyhalftheworld)liveinpoverty,3over700millionfacehunger,andgenderequalitywillnotbeachievedforanother123years.Thegapbetweentheamountofmoneyneededtomeetbasicneedsandtheamountactuallymobilizedtodoso,theSDG

"financinggap,"hasswelleddrastically,fromanestimatedS2trillionin2015toS4trillion

annually,andisprojectedtoreachS6.4trillionby2030.5Moreover,countriesarereelingfromasovereigndebtcrisis,thepossibilityoftradewars,thecostsofclimateinaction,andtherapidcrateringofaidwhichcouldpushmillionsmorebelowthepovertyline.

CONCENTRATEDPRIVATEWEALTHALONGSIDEPUBLICIMMISERATION

Thefailuresofthelastdecadeareinnosmallparttheresultofafailuretotackleextreme

inequality-thechoicetoprioritizeprivateinterestsoverthepublicgood.SDG10,onreducinginequality,isoneoftheworstperformingofanyofthegoals.6Whiletheworldfailedtoeradicatepovertyoverthelastdecade,itsucceededinminting1202newbillionairesandiscurrentlyontracktohavefivetrillionaireswithinadecade.Since2015,therichest1percenthavegainedatleast$33.9trillioninwealthinrealterms,enoughtoendannualglobalpoverty22timesover.8Theynowownmorewealththanthebottom95%oftheworldcombined.9

Billionairesalone-roughlyjust3000peopleaccordingtoForbes,overwhelminglymen-havegainedS6.5trillionsince2015,morethanenoughtocovertheentireannualSDGfinancinggap,andenoughtoendannualglobalpovertyfourtimesover.10Thiswealthisalsovastly

disproportionatelyconcentratedintheGlobalNorth,hometothemajorityoftheworld's

billionairesandwealth,despitebeinghometojustone-fifthofglobalthepopulation.1Thisimmenseconcentrationofwealthhastranslatedtopoliticalpower,inamovementtowardsoligarchythatseesultra-wealthyindividualsabletoshapepoliticalandeconomicdecision-makinginwaysthatincreasetheirwealthandimpedeeffortstocreateamoreequitable

society.12

Relatedly,countries,whichshouldplayakeyroleindeliveringthesedevelopmentgoals,havehandedoverimmensepowertoprivateactorsandconstrainedtheirownfiscalspace.A

collapseintaxationofwealthyindividualsandlargecorporationsinrecentdecades,alongsideacalamitousriseinsovereigndebtpayments,hassignificantlyimpactedstates'abilityto

deliverpublicserviceslikecleanwater,education,andcare.3Governmentandcentralbankinterventionshavecontributedsignificantlytotheriseinprivatewealth.Repeated

interventionsafterthe2008financialcrisis,andmostrecentlya$16trillionstimulusinthe

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aftermathofCovid-19,havedrivenupthepricesofassetsfavoredbythe……

propertyandstocks.14

NewOxfamanalysisofglobalwealthdatashowsthatwhiletheworldhasgottenmuchricherinrecentdecadesgovernmentshavenot.Between1995and2023,globapivatewealthgreeiywhichgrewbyjustSmtillioreFhanglobalpublicwealth(thenetwealthofgovernments),

whichgrewbyjustS44trillion(Figure1).15Globalpublicwealth-asashareoftotalwealth-actuallyfellbetween1995and2023.16

Figure1.CHANGEINTOTALGLOBALWEALTH,GLOBALPRIVATEWEALTH,ANDGLOBALPUBLICWEALTH,1995-2023[INTRILLIONSOFUSDOLLARSJ

TrillionsUSS

1997

Totalwealth,privatewealthandpublicwealthintheworld,1995-2023,intrillionsofdollars600

556

400488

300

170

200

100

68

_20152016

GlobalPrivateWealth

一GlobalPublicWealth

Source:

https://wid.world/data/

146

24

2004

2007

2023

GlobalWealth

500

Globalandregionalwealth-to-incomeratiosunderscorethisevolution,showingthatrapidlyincreasingwealthhasdisproportionatelyflowntoprivatehands.7Between1995and2023,

globalprivatewealth-expressedasaratioofincome-increased191pecen?9eanod2t?23omL0okinga51osthelepublicealttickedupjust18percentagepointfrom?8%to86%118Lookingacrosstheworld'sregions,theratioofprivatewealthtoincomeincreasedinevery

singleregion(of10),whiletheratioofpublicwealthtoincomedecreasedinsevenofthem(Figure2).

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Figure2.VARIATIONINTHEPRIVATEANDPUBLICWEALTHBYREGIONS,1995-2023(ASAPERCENTAGEOFREGIONALINCOME)

250

230.0

191.0188.8

122.0153.5

100

69.3

50

10.3

12.3

0

-5.8

-17.8

-43.6

-55.9

Europe

MiddleEastNorthAfricaNorth

South-EastAsia

Bussia&CentralAsia

Sub-SaharanAfrica

■Public■Private

Source:

https://wid.world/data/

123.0110.0

-50

-100

LatinAmerica

SouthAsia

-50.1

-51.3

-29.2

America

90.3

63.8

17.8

World

200

150

REWRITINGTHEDEVELOPMENTAGENDATOSERVICEPRIVATEINTERESTS

TheAddisAgendaiscertainlynotthesolereasonforfailurestobothfinanceandfulfill

developmentgoalsbroadly.Thesefailuresinmanywaysfollowfromadeepercommitmentto

neoliberalvaluesandpolicies,includingshareholderprimacy,whichaimstoextractmaximumvaluefortheshort-termbenefitofwealthyshareholdersandexecutives,19alongwiththerapidcollapseoftaxationoftheverywealthiestindividualsandmostprofitablecorporations.20Thesetrendshavedeepenedeconomicandpoliticalinequalityincludingalonggenderedand

racializedlines,pavingthewayforoligarchicrule.21ButtheAddisAgendawasmorethanmerelyamissedopportunitytoaddressunderlyingstructuralfactorsthatdriveinequality.Itwasthe

consequentialembraceofanideathathumandevelopmentcouldbe-indeedmustbe-repackagedasaninvestmentproject.

Asthisbriefingdetails,thedevelopmentagendahasbeen,toaconsiderabledegree,capturedbytheinterestsofwealthyprivateinvestors.AmisguidedpushtopresentWallStreetand

wealthyinvestorsastheanswertodevelopmentchallengeshasbecomeincreasineltaccentedIndeed,asscholorseavidencitshatthisisaviableapproachorsuperiortopublicfinancing.

Indeed,asscholarsandcivilsocietywarned,approachingdevelopmentasfirstandforemostanopportunityforpowerfulfinancialactorshasnotgeneratedthefinanecinasfestandforem

resultedinsignificantproblems.2

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Instead,wealthyGlobalNorthinvestors'ambitionshavebeenwhitewashedundertheguiseoffinancingdevelopment,whiledevelopmentgoalshavelanguished.Meanwhile,thevery

wealthiesthavetransformedthemselvesfromtaxpayingstakeholderstocreditorsandshareholders,insulatedfromdemocraticdemands.

Alarmingly,withG7countriessettoundertakethelargestcuttoaidlevelsonrecord,23thereisnewmomentumbehindtheideathatthemeagerassistanceremainingshouldbedirectedtotheprivatefinancialsector.Thatwouldbewrong.

Thisbriefinglooksin-depthattwodevelopmentswhichshowhowthepursuitofprofitshas

derailedglobaldevelopment:thedrivetorecastdevelopmentasanassetforprivatefinance,andtherelianceonprivatecreditorsthatexacerbateaglobaldebtcrisis.Despiteachallenginggeopoliticalcontext,2025representsaonce-in-adecadeopportunitytocorrectcourse.TheupcomingfourthFinancingforDevelopmentConference(FfD4)inSevilla,Spainisacriticalandrarechancetoforgeanewanddifferentpath.

2.MISGUIDEDFAITHINPRIVATEFINANCE

THEWALLSTREETCONSENSUS

Variousandinfluentialmultilateralandbilateraldevelopmentinstitutionshavelongpushedforgreaterinvolvementoftheprivatesectorintheprovisionofpublicservices.Adecadeagothisdynamicevolvedanddeepened,asmajormultilateraldevelopmentbanks[MDBs]recasttheir

missionaroundtheunprovenconvictionthatpublicresourcescouldbemosteffectivelyusedbyenlistingpowerfulGlobalNorthinvestorstoachievedevelopmentgoals.4Coincidingwiththe

announcementoftheSDGs,theWorldBankcalledforabillionstotrillions"paradigmshift"consistingofusingpublicresourcesto"catalyze"privateflowsthroughvariousfinancialinstruments.25

Instrumentslike“public-privatepartnerships”(PPPs)andconceptslike"blendedfinance"and"de-risking"becameubiquitous,despitecritics'concernsthatthisamountedtosheddingthepretensionoffundingdevelopment,infavorofservingasaconduitforprivatecapital's

ambitions.6ScholarDanielaGaborreferstothisasthe"WallStreetConsensus,"which

"reframesthe(Post)WashingtonConsensus..inthelanguageoftheSustainableDevelopmentGoals,andidentifiesglobalfinanceastheactorcriticaltoachievingtheSDG[s].27

AFISCAL“FANTASY”THATENRICHESWEALTHYINVESTORS

Giventhehighconcentrationofassetsinthehandsofthewealthiest-therichest1%own43%ofallglobalassets-theWallStreetConsensusansweredthedemandsofinvestorsseeking

newreturns.28Oneofitsmajorfailures-whichevenitsproponentsagreeon-isitsinabilitytoproducetheamountofmoneyneededtoachievetheSDGs.EventheWorldBankchief

economisthascalled"billionstotrillions"a"fantasy."29

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AccordingtotheMDBTaskForceonMobilization,MDBsanddevelopmentfinance

institutions(DFls)mobilizedjust$87.9billionofprivatefinancein2023inlow-andmiddle-incomecountries-ameagersumconsideringthefinancinggapestimateofS4trillioneveryyear.30

Further,thecountriesandprojectsmostinneedofdevelopmentfundingreceivedanespeciallysmallshareofprivatefinancingduetoconcernsaboutprofitabilityandriskoftheprojects.31In2023,justS10.2billioninmobilizedprivatefinancewenttolowincomecountries,32consistentwithOECDfindingsthatjust12%ofmobilizedprivatefinanceoverthreeyearswenttolow-

incomecountries.33Claimsthatpublicresourcescouldcatalyzeprivateinvestmenthavealsonotbeenborneout.DespiteDFIclaimsin2015that$linpublicresourcescouldmobilizeanadditional$2-$5fromtheprivatesector,4a2019studyfoundthatonaverage,eachdollarmobilizedjustS0.75ofprivatefinanceonaverage,andonlyS0.37inlow-incomecountries.35

However,theideathatprivatefinancecansomehowbeleveragedtoachievedevelopment

goalsremainspopular.Supporters,whoconcedeithasfallenshort,neverthelesscontendthatreformscouldstilltripleorquadruplefinancing.36AndwhileWorldBankPresidentAjayBangahasrecognizedthat"billionstotrillions"was"unrealistic"and"bredcomplacency,"he

maintainsthatthe"rightconditions"willencourageprivateinvestmentstoflow.37

Butthereisampleevidencetosuggestthatevenifprivatefinanceweretoflow,itisoftenmorecostlythanpublicfinancingandpresentsimmensefiscalrisksforstates.38Forexample,public-privatepartnershipsinhealthcarehaveahistoryofplacinghighandunsustainableburdensonpublichealthbudgetswellinexcessofwhatwaspromised;inTürkiyeonly10PPPhospitals

reportedlyaccountedformorethanaquarterofthecountry'sentirehealthbudget,39whileinLesotho,asinglehospitalaccountedforfullyhalfofitshealthbudget.40EducationPPPshavealsobeentiedtowastefuluseofpublicresources.41

WHILEEXACERBATINGINEQUALITY

Thesubordinationofpublicgoalsinfavorofprivateprofitreinforcespovertyandinequality,

bothwithincountriesandbetweencountries.Approachesthatprioritizeprivatefinancecanineffectgutstates'abilitytocontroltheirdevelopment.GlobalSouthcountriesanddevelopmentinstitutionsareforcedtotailordevelopmentpoliciesandobjectivestoalignwiththeinterestsofinvestorswhoareoverwhelminglyconcentratedintheGlobalNorth,thusreinforcingcolonialpatternsofeconomiccontrol.42,43,44Thiscanreduceaccesstoessentialservicesandcreate

opportunitiesforcorruption.45Publicservices,whicharekeytoaddressingextremeinequality,candeteriorateunderprivatefinancing.46Converselyinvestmentinpublicserviceshasprovenessentialforreducinginequality.47

Profoundconcernshavealsobeenraisedabouttherisksofleavingaccesstofundamental

humanrightstothewhimsofprivateinvestorswhoseprimarymotivationisinseekingreturns.48

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growingbodyofevidencesuggeststheseconcernsarewellplaced,withdocumentationofproblemsincludingsystemicexclusionofthosewhocannotpay,drivingpeopleintofinancialdistresstoaccessservices,aswellascreatingpoorworkingconditions,environmental

concernsandsignificantqualityissues.9

Relianceonprivatefinancingtofulfillfundamentalrightsalsohasparticulargenderedrisks.Forexample,fee-basedservicescandisproportionatelyexcludewomen,whotypicallyhavelowerincomes;aspublicservicesdecline,women'sdisproportionateunpaidcareburdencanworsen;andtheirlaborforceparticipationcansufferbecausetheprivatesectorhasloweremploymentratesforwomenthanthepublicsector.50

Forexample,inIndia,WorldBankGroup-backedfor-profithospitalshavedeniedemergency

servicestopatientsdespitetheirlegalobligationstoprovidecare.51InKenya,DFI-backed

privatehospitalshavedetainedpatients,includingnewbornsanddeceasedbodies.52InLiberia,duringtheCovid-19pandemic,aneducationPPPcloseditsschoolsandcutteachers'salariesbyupto90%,violatinggovernmentpolicy.53AndinPeru,aPPPimposedcontinuousand

unjustifiedincreasesinroad-usefees,makingitinaccessibletothemajorityofthepopulationwhileincreasingitsprofitsbynearlyS23million.54

TherisksarenotonlypresentintheGlobalSouth.Forexample,onestudyfoundprivatewaterprovidersintheUS,onaverage,charge59%moreinfeesthanpublicproviders,whileoften

pursuingdangerouscost-cuttingmeasuresthatcandirectlyaffectpublichealth.5A

systematicreviewofinternationalevidencefoundprivateequityinvestmentinhealthcareandnursingcarefacilitiesisassociatedwithharmfulimpactsoncoststopatientsandpayers,andmixedtoharmfulimpactsonqualityandpatientoutcomes.56AstudyofnursinghomesintheUSforexample,foundprivateequityacquisitionledtoanelevenpercentincreaseinmortality.57

NOSUBSTITUTEFORFOREIGNASSISTANCE

Despitemountingevidencethatprivatefinancingcanleadtoworseoutcomes,highincome

countriesanddevelopmentinstitutionsarerushingtoanointWallStreetasthesuccessortotheofficialdevelopmentassistance(0DA)system.8WhenchallengedontheimpactsofrecentdramaticODAcutsintheUnitedKingdomforexample,theUKChancellorquicklyand

distastefullypivotedtoframingthecutsasbringing"massiveopportunities"forleveraging

privateinvestment.59Governmentsandinternationalfinancialinstitutionsseemtobedoublingdownonthedubiousprivatefinancingexperiment,withprominentemphasisonmobilizing

privatefinanceinthefinaloutcomedocumentforSevilla.60

Criticswarnthiswouldentaillimitingmultilateraldevelopmentbanksandstates'rolestothatofofferingguarantees,securitizationandde-risking,effectivelyevacuatingthearenaof

developmenttoprivatefinanceandinsteadusingpublicresourcestoensuretheirprofits.1

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InsteadofsupportingGlobalSouthcountriestobuildtheirownpublicservices,developmentinstitutionsareinsteadsubsidizingprivateinvestorstoextractprofit,furtherentrenchinginequalityanddrivingdownstandardsandquality.Thisisaringingalarmthatinstitutions

taskedwithredressingexploitationoftheGlobalSouthcouldhastenit.

Anhonestreckoningwiththefailuresofprivatefinancing-andtheroleofdevelopment

institutionsinpromotingit-ismoreneededthanever.Theshortcomingsofprivatefinancingmakecallsforittoreplaceaidnotjustmisguided,butdisingenuoustothepointofwillful

ignorance.62ThistransformationofODAintoade-riskingresourceeffectivelysubsidizescompaniesfromtheGlobalNorthunderthepretenseofhelpingtheGlobalSouth.63

3.ADEBTCRISISEXACERBATEDBYPRIVATECREDITORS

Alongwiththerushtoputprivatefinancialactorsinthecenterofthedevelopmentarchitecturedirectly,certainprivatecreditorshavealsoplayedakeyroleinholdingbackdevelopment

efforts,particularlybyexacerbatingsovereigndebtcrisesinordertogenerateprofitsandenrichwealthyinvestors.

Indebtedcountriestransfer$90billionmoreannuallytoprivatecreditorsthantheyreceive一

underminingpublicservicesanddisproportionatelyenrichingwealthyinvestorsintheGlobal

North.64Lowincomecountriesarespendingonaveragemorethan50%oftheirrevenueondebtservice,65andsomestatesspendfarmore,likeBurundi(63.54%),SriLanka(193%),andMorocco[61%].66Debtspendingcrowdsoutotherpriorities,withsomecountriesspending60%moreondebtservicingthanonhealth,education,andsocialprotectioncombined,67and12.5times

morethanonclimateadaptation.8Today,about60%oflow-incomecountriesareinoratriskofdebtdistress,anddebtburdensshoulderedbymiddleincomecountriesrecentlyhita30-yearhigh.69Despitelimitations,aHeavilyIndebtedPoorCountry〔HIPC〕initiativehasdemonstrated

thebeneficialeffectsofdebtrelief,70butithasfailedtoaddressthecrucialroleofprivatecreditorsinhinderingthedebtreformprocess.71

THEASCENDANCEOFPRIVATECREDITORS

Privatecreditorsareprivateindividualsorfirmswhobuysovereignbondsandbillsofferedby

variousstatestofinancetheirneeds.Theyincludeasubset-calledvulturefunds-thattargetstatesonthevergeoffinancialcrisis,default,orrestructuringbybuyinguptheirbondsand

billsonthesecondarymarketforcheap,andpressingforthefulfillmentofthefullbondpricesthroughlawsuits.Privatecreditorshavetakenalongleadoverbilaterallenders,outpacing

thembyfivetoone.2Privatelendersnowaccountformorethanhalfthedebtowedbylow-andmiddle-incomecountries.73Theloomingglobaldebtcrisismakesaddressingtheseissuesatopprioritytoavoidtheworstofwhatthenextfewyearsmightcarry.

Thisempowermentofprivatecreditorshasincreasedwiththeproliferationofdebtcrises,astheyexitvulnerabledebtmarketsinlow-andmiddle-incomecountriesleavingthemsuddenlycash-strappedandexposedtosovereigndefault.74Thesecrisesdeepenedthereachof

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austerity,withmorethan75%oftheworldpopulationprojectedtoliveundersomesortof

austerityregimeby2025,75harmingaccesstovitalpublicservicestothedetrimentofgenderjusticeandwiderhumanrights,whileoftenbenefittingofprivateinvestors.

PRIVATECREDITORS,PUBLICCOLLATERAL

Whileprivatecreditorsarenotalonetoblameforariggedfinancialsystem,theyplayauniquelyharmfulroleinexacerbatingdebtcrises.Privatecreditorsgrantsubstantiallylessdebtrelief,76withincreaseddiscrepancyforpoorercountries,withonlyoneprivatecreditorparticipatingintheDebtServiceSuspensionInitiative(DSSI).77Privatecreditorscitedreducedprofitsasa

reasonfortheirabstention,andhavethreatenedwithdrawalandhigherinterestrates(despitealreadycharginghigherinterestratesthansovereigncreditorsandDFls].TheseeffortsalsosignificantlyhamperedtheCommonDebtFrameworkagreement.78

Vulturefundshavebeenaparticularlydestructiveforce,successfullyderailingrestructuringdealsthatwouldhaveprovidedmuch-neededdebtreliefbyusinglegaltacticstoextort

countriesforreturnsashighas2000%ontheirdistresseddebtholdings.9

Inthepastdecade,strongercollectiveactionclausesthatforcerestructuringbyholdout

supermajorityprivatecreditorshavestartedtobeintroducedinbondcontracts,reducingtheriskofvulturefundlawsuits.Butnotallbondsorbankloansincludetheseclauses,andthe

possibilityoflawsuitscontinuestoweighondebtrestructuringnegotiations.80Afterdefaultingin2022,SriLanka'srestructuringprocesswashinderedbyaprivatecreditorthathelda

blockingstake,meaningitheldenoughofthebondtopreventthesupermajorityneededtoapproverestructuring.81WhileSriLankasuccessfullyrestructureditsdebtswithsovereignbondholders,82itsrestructuringeffortswithprivatecreditorsremainhindered.83

Thehighcostoffinancingindevelopingcountriesalsostemsfromtheprivatizationofa

functionthatcouldbepublic:creditratings.Northern,privatelyownedagenciesconsistentlyoverstateinvestmentrisksintheGlobalSouth,inflatinginterestratesandcausingan

estimatedS74.5billioninlostopportunities;aphenomenonknownasthe"AfricaPremium?4haspromptedAfricanleaderstoestablishanAfricancreditratingagency."85TheseprivateagencieshaveeventhreatenedcreditdowngradesforcountriesparticipatingintheDSSI.86

Privatecreditorsfunctionwithinanincrediblytiltedandfragileinternationalfinancial

ecosystem,itselftheresultoffailurestoreformtheinternationalfinancialarchitecturesincetheturnofthecentury,aswellastheimpositionofstructuraladjustmentprogramsandothereconomicreforms?7thatentrenchedmanyGlobalSouthcountriesinacycleofdebt

dependency.Forexample,higherfinancingcostsforGlobalSouthcountrieslimitfiscalspace,88deepeninginequality.89,90In2023,theglobalfinancialsystemextractedmorethan$263billionfromtheGlobalSouthtothetop1%intheGlobalNorth.91

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4.THEPATHAHEAD:SEVILLAANDBEYOND

TheupcomingFinancingforDevelopmentconferenceinSevillapresentsaneededopportunityforachangeincourse-awayfromoligarchyandtowardsareassertionofthepublicgood.

Facedwithadynamicandchallenginggeopoliticalcontext,newformsofpoliticalcooperationbetweencountriesandsocialmovementsarevital.Thisgenerationcantakeinspirationfrom

pastefforts-forexampleoftheBandungSpiritandthesuccessiveNon-AlignedMovement,thatsoughttocraftanindependentpathfocusedonsovereignty,solidarityandequity—which

broughtcountriesincommoncausetogethertoaddressrisingandextremeinequality.FfD4,asaUnitedNations(UN)process,putseverycountryonequalfooting.Anewagendaisneeded,inSevillaandbeyond,including:

1.NEWALLIANCESAGAINSTINEQUALITY:CountriesfromtheGlobalSouthandGlobalNorth

oughttowork