Statement by Enoch Godongwana Minister of Finance - 105th Meeting - Debt, digitalization and Ukraine support

Jul 19, 2026

Statement by H.E. Enoch Godongwana, Minister of Finance of South Africa, on behalf of the constituency of Angola, Nigeria and South Africa at the 105th Development Committee meeting (April 22, 2022). The statement welcomes the agenda focus on debt and digitalization, noting rising public debt, risks to debt sustainability in EMDEs, and the need for swift policy actions and improved creditor communication. It urges more concessional finance, better digital infrastructure deployment to reduce the digital divide, and continued engagement of development institutions in fragile situations. It also addresses the humanitarian consequences of the Russian-Ukraine conflict, supporting diplomatic resolution and additional World Bank Group financing.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages3

Reading Time8 min

Statement by H.E. Enoch Godongwana

Debt issues and debt resolutions

Digitalization and reducing the digital divide

Russian-Ukraine conflict and support needs

Public Disclosure Authorized Public Disclosure Authorized DEVELOPMENT COMMITTEE (Joint Ministerial Committeeof the Boards of Governors of the Bank and the Fundon theTransfer of Real Resources to Developing Countries) ONE HUNDRED AND FIFTHMEETINGWASHINGTON,DC-APRIL 22,2022 DC/S/2022-0023 April 22,2022 Statement by H.E.Enoch GodongwanaMinister of Finance # Ministry of Finance South Africa On behalf of the Constituency of Angola,Nigeria and South Africa ## Statement by H.E.Enoch GodongwanaMinister of Finance Ministry of Finance South Africa ## On behalf of the Constituency of Angola,Nigeria and South Africa 105hMeeting of the Development Committee April 22,2022 Washington,DC We welcome the inclusion of Debt and digitalization issues in the DC agenda. Public debt has been rising rapidly and is becoming an increasing burden to economic growth anddevelopment in our countries. The relatively higher interest rates,together with projected slower growth and rising cost of capital,is expected to have an adverse impact on debt sustainability in many EMDEs,particularly in Sub-SaharanAfrica(SSA). ## Swift policy actions are required to reduce debt burdens,hence our appreciation of the urgency attached tothis topic. The efforts of the World Bank Group and the IMF to improve the framework for dealing with debt relatedissues,including measures to enhance debt transparency and management,should be acknowledged. The importance of the G20 Common Framework,which provides a coordinated platform for effective debtresolutions,is also appreciated. We are however concerned that slow progress under the Common Framework is not assisting those in need.It may also deter other countries from applying for debt treatment. ## It is critical that Development Institutions remain engaged in fragile situations and continuesupporting long-term sustainable development. We urge the World Bank Group and the IMF to help strengthen communication with creditors,especiallyprivate creditors,to bring about meaningful and timely debt resolutions. These actions alone,however,are not enough. In the medium term,availability of more concessional finance is paramount if high and unsustainable debtlevels,particularly in Middle-Income Countries(MICs),are to be arrested. Regarding digitalization,we must embrace the opportunities offered by technology.The COVID-19pandemic has demonstrated the value of digital technologies. But it has also revealed the yawning disparities between regions,especially in terms of the deployment ofdigital solutions,as reflected by the very low level of access to digital infrastructure in many of thedeveloping countries,particularly Low-Income Countries(LICs). In this regard,we support the framework of digitalization and development presented in the supportingdocument. We acknowledge the World Bank Group's efforts in supporting the digitalization in client countries.Moreneeds to be done.We are concerned about the growing digital divide and urge the Bank Group to target afaster reduction of this divide.Given the low levels of digital penetration,especially in Sub-Sahara Africaregion,some prioritization in digital investment is necessary. We are deeply concerned about the humanitarian consequences from the Russian-Ukraine conflict,including the loss of lives.A protracted conflict threatens to destabilize global economic recovery andinflict lasting economic damage to Low and Middle-Income Countries. Our preference is for a diplomatic solution to the problem,and we urge all parties involved to end theconflict as quickly as possible. We welcome the announcement by the World Bank Group of a $3 billion package of support to assistUkraine and neighboring countries hosting Ukrainian refugees in the coming months. We acknowledge that the urgent financing needs in Ukraine significantly exceed what the InternationalBank for Reconstruction and Development(IBRD)could provide within its prudential l

FAQs

Why does the statement welcome the inclusion of debt and digitalization in the DC agenda?

It highlights that public debt is rising rapidly and increasingly burdens growth, threatening debt sustainability. It also notes that the COVID-19 pandemic showed the value of digital technologies while revealing large regional disparities in digital infrastructure access.

What actions are urged to improve debt treatment under the G20 Common Framework?

The statement calls for strengthening communication with creditors, including private creditors, to achieve meaningful and timely debt resolutions. It also expresses concern about slow progress under the Common Framework and urges increased availability of concessional finance.

How does the statement address the humanitarian and economic impacts of the Russian-Ukraine conflict?

It expresses deep concern about loss of lives and warns that prolonged conflict could destabilize global recovery and cause lasting damage to low- and middle-income countries. It supports diplomatic resolution and welcomes a $3 billion World Bank Group support package for Ukraine and neighboring host countries.

Jul 19, 2026

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