The G20 Finance Ministers and Central Bank Governors have endorsed a new Africa Engagement Framework, a five-year initiative aimed at supporting the continent’s economic growth, financial stability, and sustainable development. The announcement came during the group’s fourth meeting under South Africa’s G20 Presidency, held on the sidelines of the IMF and World Bank annual meetings in Washington D.C.
The 2025–2030 G20 Finance Track Africa Engagement Framework builds on earlier G20 efforts, such as the Compact with Africa, and is designed to ensure consistent engagement with African economies. The initiative focuses on addressing key barriers to growth — from infrastructure investment and debt sustainability to financial inclusion and innovation.
South Africa’s Deputy Finance Minister David Masondo, who chaired the meeting, said the framework marks a significant step in aligning G20 priorities with Africa’s development agenda.
“This framework strives to ensure consistent engagement by the G20 with key impediments to growth and development in Africa for the next five years. It complements existing G20 initiatives such as the Compact with Africa,” Masondo said.
The meeting’s chair summary highlighted progress on several global financial issues, including macroeconomic stability, reforming international financial institutions, and enhancing the effectiveness of Multilateral Development Banks (MDBs). Ministers also adopted a G20 Declaration on Debt, which seeks to improve debt sustainability while empowering borrowing nations to have greater input in negotiations.
Discussions also centered on mobilising private investment in infrastructure and managing the macroeconomic implications of artificial intelligence (AI).
Masondo said delegates agreed that “further work needs to be done,” noting that the financial sector must balance innovation with risk management.
“Cross-border payments were a key priority this year, and we have collectively reaffirmed our commitment to the effective implementation of the G20 roadmap to enhance cross-border payments,” Masondo added. “We are slowly making progress toward cheaper, faster, more transparent and inclusive payments, particularly in sub-Saharan Africa.”
A recurring theme of the discussions was credit rating agency reform, with South Africa’s Reserve Bank Governor Lesetja Kganyago calling for more transparency in ratings methodologies, which he said unfairly penalize African countries.
“When South Africa was downgraded in 2017 and 2020, agencies projected our debt-to-GDP ratio would hit up to 100%. Eight years later, it’s at 76%. They were wrong,” Kganyago said. “Developing countries must be empowered to challenge these methodologies. Building borrower capacity to engage meaningfully with ratings agencies is essential.”
Kganyago also addressed growing concerns about cybersecurity and digital banking threats, warning that hacking incidents are inevitable but that quick responses and consumer education are critical.
“There will be a hack — the question is, how quickly can you respond?” he said. “Consumers must also be informed and equipped, because often it’s not the institution that’s hacked but the individual who’s tricked into a vulnerability.”
The G20 noted that the global economy remains resilient despite persistent challenges, including geopolitical tensions, trade disruptions, high debt burdens, and the increasing frequency of climate-related disasters. These, the group warned, could continue to threaten both financial stability and growth prospects in the months ahead.
The discussions set the stage for the G20 Leaders’ Summit, scheduled to take place in Johannesburg from November 22 to 23, where heads of state will further deliberate on strategies to strengthen Africa’s integration into the global economy.