The G7 leaders have called for a comprehensive reform of the international development cooperation system, emphasizing the need for mutually beneficial partnerships that reduce dependency on aid, strengthen the economic sovereignty of partner countries, and mobilize greater private investment for development.
Joint Declaration at G7 Summit
In a joint declaration adopted at the G7 Summit in Evian-les-Bains, France, the leaders reaffirmed their commitment to international cooperation on development and investment finance as a driver of shared prosperity. They acknowledged that the current development architecture requires significant reforms to address emerging global challenges. Kenya and the Republic of Korea also supported the declaration.
The leaders noted that while traditional development policies have achieved important results, they have at times shown limited success in reducing dependence on external assistance, strengthening country ownership, and creating incentives for sustainable economic growth.
Key Principles of Reform
"We are united in reforming the development cooperation system and shaping mutually beneficial partnerships that take into account our strategic interests and those of our partners," the declaration stated. The G7 underscored the importance of helping partner nations mobilize domestic resources, improve tax administration, and attract private capital to support long-term economic resilience and self-financing capabilities.
Addressing Debt Challenges
Addressing the growing debt challenges facing developing nations, the grouping called for further progress within the G20 on debt restructuring mechanisms, particularly for vulnerable middle-income countries not covered under the Common Framework. The leaders also urged greater transparency in debt data and lending practices and called on all G20 creditors to participate in the World Bank's debt data-sharing exercise.
Leveraging Private Capital
The declaration placed strong emphasis on leveraging private capital for development through risk-sharing instruments, guarantees, blended finance, and co-financing mechanisms. The G7 said its Development Finance Institutions, along with Multilateral Development Banks, would work to make development projects more attractive to investors.
Resilient Supply Chains and Critical Minerals
The leaders also highlighted the importance of resilient supply chains, infrastructure connectivity, and critical mineral value chains, pledging support through initiatives such as the G7 Partnership for Global Infrastructure and Investment (PGII). They stressed that international cooperation in critical minerals should be based on transparency, high standards, and local value creation.
Focus on Least-Developed Countries
The declaration further committed concessional resources to least-developed and vulnerable countries, particularly those facing external shocks, conflicts, and limited access to capital markets. Investments in health, education, nutrition, and food systems were identified as priority areas.
Streamlining Development Ecosystem
Calling for a more streamlined development ecosystem, the G7 said it would prioritize strengthening existing financing mechanisms rather than creating new institutions, while also supporting reforms aimed at improving the effectiveness of Multilateral Development Banks and enhancing coordination among development actors. The leaders said delivering the agenda would require broader cooperation involving emerging donors, the private sector, philanthropic organizations, and civil society.
Initiatives Welcomed
They also welcomed initiatives such as the Africa Forward Summit, the Tokyo International Conference on African Development, and the Global Gateway initiative as examples of the renewed partnership approach.
