Kenya’s FinMin Ndung'u on harmonizing African payments system

Kenya’s Cabinet Secretary Njuguna Ndung'u is advocating for reform in the global payments system to help Africa advance its economic priorities. Speaking from the 56th Session of the Conference of Ministers of Finance, Planning, and Economic Development in Victoria Falls, Zimbabwe, Ndung'u highlighted the need for a payment system that is currency neutral to preserve value, create certainty, and enhance efficiency. He emphasized the importance of reforming the global value chain to enable easier market entry for African economies. Ndung'u also discussed the significance of the IDA 21 replenishment, championed by Kenyan President Dr. William Mluto, to provide affordable financing for development and reform the global financial architecture. The focus on development priorities, including human capital development, markets, and digitization, is crucial for Africa's economic progress. Moreover, Ndung'u underscored the importance of private sector capital mobilization, particularly for transitioning to greener economies, mentioning green bonds, carbon trading, and sustainability bonds as key instruments for driving economic growth. He emphasized the need for developing relevant markets to maximize the impact of these financial mechanisms and ensure sustainable economic development. Ndung'u's call for urgent action and collaboration to address challenges such as climate change and resource scarcity resonated with the conference's theme of exploring policy options with speed to combat existential threats and promote economic vibrancy.