Minister of Planning, Economic Development, and International Cooperation during the events of the "Davos" Forum 2025

 

Expanding partnership between Africa and international institutions supports economic development efforts.

 

The necessity for strengthening international efforts to alleviate the continent's debt burden.

 

Global challenges impose structural transformations in developing and emerging economies to keep pace with development.

 

H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, emphasized the importance of expanding the partnership between Africa, international institutions and multilateral development banks, to support the continent's development efforts, noting the importance of the step taken by the International Monetary Fund (IMF) last year, and its approval to increase the representation of sub-Saharan Africa.

 

This came during her speech at the session held by the "Africa House" Forum to discuss the future of development in Africa, in light of her participation in the World Economic Forum 2025, taking place in Davos, Switzerland, under the theme "Collaboration for the Intelligent Age", from January 20 to 24.

 

H.E. pointed out the importance of addressing the continent's debt burden in order to free up resources for development, which the international community is discussing in international forums and was a key focus of discussion at the Future Summit, and will be discussed at the Fourth International Forum on Financing for Development in Spain this year.

 

She added that restructuring the global financial system has become an indispensable necessity in order to provide more financial resources for developing and emerging countries, with Africa at the forefront, to promote sustainable and comprehensive development efforts.

 

In another context, the Minister of Planning, Economic Development, and International Cooperation called the countries of the continent to exploit the available resources, as the continent enjoys huge human resources and natural resources that must be exploited optimally, adding that integration between the countries of the continent can be a way to maximize the benefit and achieve development and exchange development experiences and expertise.

 

Africa House is a specialized platform aimed at facilitating communication among visionaries across the continent, launching initiatives, and encouraging alliances to achieve a qualitative impact on the continent's development efforts.

 

It is noteworthy that Africa House has chosen H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, as a co-chair of the forum held during the "Davos" 2025 events, along with Mr. Wamikli Mene, Secretary General of the African Continental Free Trade Agreement (AfCFTA).

 

Reforming Economies

 

On another note, H.E. Dr. Rania A. Al-Mashat participated in a panel discussion organized by the World Economic Forum, titled "Reforming Economies," as part of her participation in the World Economic Forum 2025, taking place in Davos, Switzerland, under the theme "Collaboration for the Intelligent Age" from January 20 to 24.

 

In her speech, H.E. Dr. Rania A. Al-Mashat explained that in light of multiple global crises, the need for policy reforms and structural transformations in emerging and developing economies is becoming increasingly urgent, especially with the rising calls for a just transition to resilient and green economies.

 

Al-Mashat referred to the United Nations report on the World Economic Situation and Prospects (WESP) 2025, which expects global economic growth to remain at 2.8% in 2025, noting that a decline in inflation and a shift towards monetary easing policies could provide a boost to global economic growth and have a positive impact on emerging markets.

 

Moreover, H.E. addressed the "Middle Income Trap" report issued by the World Bank Group, which indicates that 75% of the world's population lives in middle-income countries, including about 66% of people living in extreme poverty, and the World Economic Forum's Future of Growth report, which shows that global growth has been slower in the past decade than in previous decades, and that the post-pandemic recovery is losing momentum.

 

She continued that the "Middle-Income Trap" refers to a situation in which countries experience rapid growth and move from low-income to middle-income status, but then struggle to reach high-income levels, adding that economies stuck in the middle-income trap often face slow productivity growth, weak infrastructure, fragile institutions, and a lack of technological innovation, and difficulties in diversifying their economies away from reliance on low-wage, low-skill industries. 

 

H.E. reviewed a number of recommendations to break out of this trap and accelerate growth, referring to the recommendations of the World Bank report, which include a strategic adjustment of economic policies related to investment, flow, and innovation, as well as focusing on increasing investment through reforms such as limiting government spending.

 

Al Mashat also emphasized the necessity for countries to diversify their economies away from primary industries and low-value manufacturing, stating that developing exports into higher-value products and services, especially in sectors such as technology, knowledge-based industries, and advanced manufacturing, is essential. Furthermore, she highlighted the importance of long-term investment in infrastructure, reforming regulatory frameworks, and ensuring that economic benefits are inclusive to avoid social tensions and stagnation.

 

H.E. affirmed the need to focus on qualitative growth, which refers to economic development that focuses not only on increasing GDP but also on improving incomes, environmental sustainability, and social justice.

 

The session was attended by several high-level officials, including Lord Nicholas Stern, Chair of the Grantham Institute for Climate Change and the Environment, London School of Economics and Political Science, UK; Andrzej Domanski, Polish Minister of Finance; Dorjakhan Tugmid, Deputy Prime Minister of Mongolia; Amani Abouzeid, Commissioner for Infrastructure, Energy and Digitalization, African Union Commission; Santiago Bauselli, President of the Central Bank of Argentina; and other representatives of governments, development partners and the private sector.