The United Nations Development Programme (UNDP) Administrator, Achim Steiner, has highlighted the significant impact of geopolitical divisions and uncertainty on development programs worldwide, with African countries bearing the brunt of these disruptions. Steiner spoke with CNBC Africa’s Godfrey Mutizwa at the World Economic Forum (WEF) annual meetings in Davos, Switzerland, where global leaders convened to address pressing economic and societal issues.
Steiner emphasized the importance of ongoing discussions at Davos, particularly focusing on the future of technology, including artificial intelligence (AI), and its relevance across all countries and sectors. He pointed out that the emphasis on technology is closely linked to the prevailing sense of uncertainty in the world today.
One of Steiner’s primary concerns was the impact of global market instability on international investments, especially in developing economies like those in Africa. He noted that decreased investment flows to the continent hinder critical sectors such as clean energy infrastructure. Despite a global trend towards renewable energy investments, Africa receives a disproportionately low amount of such funding, posing a challenge to the region’s economic development.
The conversation also touched on the incoming US administration and its potential policy impacts on global cooperation and development efforts. Steiner underscored the importance of international collaboration for successful development outcomes and expressed concerns about growing skepticism towards international institutions.
Steiner highlighted the need to address potential inequalities arising from the adoption of advanced technologies like AI. He stressed the importance of ensuring that AI benefits everyone, particularly in developing countries, through investments in skills development and institutional capacity. The UNDP is working with African governments to enhance digital infrastructure, promote skills development, and leverage AI for sustainable development initiatives.
Furthermore, Steiner discussed the UNDP’s engagement in critical minerals projects in Africa, advising governments on regulatory frameworks and market conditions for the benefit of local communities. By supporting value-added processing of minerals within Africa, the UNDP aims to contribute to the region’s industrialization goals.
Steiner’s insights underscore the pressing challenges facing developing countries amidst global uncertainty and geopolitical shifts. The discussions at the WEF Davos Summit serve as a platform for leaders to collectively address these issues and work towards inclusive and sustainable development worldwide.