Holness urges reform of multilateral systems to better assist smaller nations

Jamaica’s Prime Minister Dr Andrew Holness is calling for the urgent reform of the world’s multilateral systems so that small countries, including his own island nation, can benefit from specific financial streams.

“Jamaica has achieved economic growth, moving our debt ratio to 62 per cent of gross national product (GDP), but we are still locked out of concessionary financing,” the prime minister noted yesterday as he addressed the United Nations General Assembly (UNGA) taking place in New York in the United States.

During his presentation, Holness specifically called for an expansion of multilateral systems to provide more countries with greater access to the world’s financial markets.

Multilateral systems provided low-interest loans, grants, and financial assistance to developing countries through various international organisations and development banks. While multilateral development banks like the World Bank primarily offer non-concessional loans, other bodies, including many United Nations (UN) agencies and certain development finance institutions, specialise in concessional support, often through trust funds or blended finance mechanisms.

Yesterday, Holness said reforms to these systems would assist in building a more sustainable world.

“Multilateral systems must be fair,” the prime minister said.

Appearing as one of the speakers at the afternoon session of the UNGA, Holness pointed out that Jamaica believes in multilateral systems but that those systems must work for all, where no country is too small to be heard, where the challenges they face are addressed, and where the benefits of globalisation are equitably shared and where international cooperation is based on respect for the sovereignty of each nation.

He said the global financial system must be sensitive to the blended financial needs of small countries such as Jamaica.

COMMITTED TO UN PRINCIPLES

Reaffirming the island’s commitment to the principles of the UN Charter, he congratulated the UN on its achievements over the past 80 years but said that the organisation must be revitalised and reformed to meet the challenges of the 21st century.

“The United Nations needs to build systems that are sensitive to the needs of members,” he said.

Holness said the system should be more democratic, responsive, and representative of evolving challenges.

The prime minister said the UN80 initiative presents an opportunity to strengthen multilateralism with concrete action, institutional reform, and renewed political will.

The UN80 initiative is the UN’s’ system-wide reform effort, launched by Secretary-General António Guterres last March, which will see the body making efforts to adapt to become more agile, integrated, and equipped to respond to complex global challenges amid tightening resources

Holness called for member states to do more to honour their commitments to address stability and expand humanitarian relief and assist infrastructure rehabilitation.

“The global financial system remains fundamentally flawed. It penalises reforming economies like Jamaica with high borrowing costs while ignoring our vulnerability,” he said.

The prime minister said Jamaica supports the application of a multidimensional vulnerability index that more accurately assesses countries’ development needs and their eligibility for concessionary financing.

“Jamaica also strongly supports innovative financing mechanisms, including debt for climate swaps, debt for nature swaps, and blended finance instruments that can unlock private-sector investments in sustainable developmental projects while reducing debt burdens,” he said.

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