The historic launch of a new plan aimed at alleviating crippling levels of debt and
building economic resilience among Small Island Developing States (SIDS) was a
major outcome of Day 2 of the SIDS4 Conference now taking place in Antigua and
Barbuda.
President of the conference, Prime Minister the Hon. Gaston Browne and the
President of the Republic of the Maldives, jointly lead the initiative, which
established the Global SIDS Debt Sustainability Support Service.
The plan was co-designed with the assistance of the International Institute for
Environment and Development (IIED), in close consultation with a panel of world
leaders and industry representatives.
Prime Minister Browne emphasized that the support service will provide strategic
advice on breaking the cycle of debt and options for SIDS to seek new investment
opportunities in climate resilient infrastructure.
“Resilient prosperity is crucial within the next decade with the adaptation of
ABAS. This launch signifies the collective resolve to combat climate change and
debt. It will pave the way to provide better lending terms for SIDS. This is really a
matter for our survival and our sovereignty,” Prime Minister Browne emphasized.
The service will recognize the social, economic, legal and environmental
challenges affecting SIDS, while focusing on four key pillars. These would be a
multi-layered approach to debt, the protection against future economic threats,
fostering climate-resilient infrastructure investment and the provision of expert
advisory and legal support. The latter, will provide SIDS with the capacity to
adequately navigate international debt and finance negotiations, otherwise
unreachable due to various disadvantages.
Speaking on behalf of the Republic of the Maldives, the country’s Minister of
Environment, Climate Change and Energy, Thoriq Ibrahim stated that the plan
comes at a crucial juncture for small island nations. He added that the climate crisis
and associated external shocks are heavy burdens for SIDS.
He further indicated that the new plan of service is monumental step towards
addressing debt challenges.
“The SIDS represent approximately 1% of the world’s population. However, these
countries are at the forefront of multiple global crises, notably climate change,” he
said.
Moving ahead, it is anticipated that the next stage of the plan involves the meeting
of SIDS leaders to decide on the best way to establish the service in individual
countries.
