President William Ruto has renewed his call for urgent reforms to global trade frameworks and credit rating systems, arguing that current structures undermine Africa’s role in the global green transition.
Speaking on Monday, June 30, at the 4th Financing for Development (FfD4) Summit in Spain, Ruto emphasised the need for inclusive trade rules that reward green production and promote decarbonization, particularly for African nations leading in renewable energy efforts.
“We must design trade rules and pricing systems that reward green production and accelerate decarbonization. Africa must be part of that solution, transforming green premiums into green discounts,” he said.
Ruto stressed that Africa is not asking for favours, but for fair treatment that recognises the continent’s contributions to the global climate agenda.
“Africa’s role is critical to the global climate agenda. But we cannot deliver if our goods, services, and carbon credits are excluded from global markets or if entire value chains are blocked,” he stated.
The President argued that existing trade systems disadvantage countries like Kenya, which have invested heavily in green energy, and instead favour countries with higher carbon footprints.
Ruto also turned his focus to global credit rating agencies, urging them to update their frameworks to reflect a more accurate understanding of African economies. He called for reforms that would allow African nations better access to affordable capital and fairer assessments of their financial stability.
“Let us be clear: without affordable capital and open markets, progress will stall. High debt premiums cannot be fixed by technical adjustments alone,” Ruto said.
He further called for support of the African Credit Rating Agency, which he described as a crucial institution for developing a fair and contextualised evaluation of African economies.
President Ruto has been at the forefront of the push for equitable financing for Africa, particularly in the area of climate action. His latest remarks come amid growing calls from African leaders for international lenders to offer fairer terms on development financing and to reduce the cost of capital for green investments.
