Mo's Guardian op-ed on multilateralism and the International Development Association (IDA)

Mo Ibrahim, Founder and Chair of the Mo Ibrahim Foundation, signed an op-ed on The Guardian, published on 25 November, 2024. 

Multilateralism is under attack. A toxic brew of multiplying conflicts, worsening climate impact, new pandemics and spiralling debt has brought the system to its knees, appearing almost incapable of properly addressing these converging crises. Adding the unknowns of a Trump administration into the mix will do little to allay concerns.

My own critiques of the current multilateral system are well documented, but I do not subscribe to this view that it has no future. What’s needed is a total reboot.

By the end of the year, we have a unique opportunity to demonstrate that multilateralism can indeed address these challenges. Next month, the world’s wealthier countries will decide what they can commit to further support the development of the world’s low-income countries at the IDA’s 21st replenishment in Seoul.

These pledges are only made every three years. The decisions made in Seoul will therefore determine how equipped we are to meet the challenges on the horizon. Poland and Norway have already set the pace by announcing respectively a 100% and 50% increase over their previous contributions. Others must now follow suit.

IDA’s track record is strong. In 2024 alone, IDA committed $31.2 billion to projects in low-income countries, with over 70 percent going to Africa. As a result of IDA commitment, between 2012 and 2023, over 1 billion people received essential health services, 117 million people gained access to improved water services, and 92 million people obtained new or improved electricity services. And since 1960, 36 nations have graduated from IDA, with many like India and Korea returning as donors, the best proof of success nurtured.

This replenishment comes at a critical time, and there may be no second chances. The stakes are unusually high, both for the people in low-income countries and for the reputation of the financial multilateral system. The higher-income countries’ decisions come at a tipping point.

SDGs implementation has gone totally off-track for lower-income countries, drowning in the very same toxic brew of conflict, climate and debt post-COVID. Let us avoid cecity here. Unmet expectations feed frustration and anger, fuelling instability and conflicts. Less development in these countries means more instability and insecurity at the global level.

And the ageing Bretton-Woods system, to which IDA belongs, is increasingly challenged for its inability to properly address these countries’ specific needs. But this isn’t just about need, it’s also about opportunity. Africa is home to a wealth of critical assets. The continent is forecast to have the world’s largest, youngest workforce within just 10 years – provided these young people get the relevant skills – all with the strong entrepreneurial and innovative mindsets needed in this rapidly changing world.