In 2025, the global economic landscape faces significant challenges, including rising public debt, inflation, and geopolitical tensions. As nations grapple with these complexities, the world is also witnessing a historic milestone: for the first time in history, an African country holds the G20 presidency. South Africa’s leadership comes at a crucial juncture when the world’s financial system is under intense scrutiny. This milestone not only highlights Africa’s increasing influence on the global stage but also underscores the urgency of addressing the continent’s pressing financial needs, particularly in infrastructure development and job creation, climate adaptation, and digital transformation. South Africa’s leadership, in the context of these challenges, is poised to drive innovative financial solutions.

One of the key events that will take place during this momentous year is the Finance in Common Summit (FiCS) 2025, which will be hosted in Cape Town from February 26 to 28. This summit, held alongside the G20 meetings, is expected to bring together public development banks (PDBs) and global financial leaders to discuss new approaches and solutions to the current financial crises. Since its inception in 2020, FiCS has served as a crucial platform to set a new, efficient, sustainable and at-scale global financial architecture. With the world navigating increasing uncertainty, FiCS 2025 is set to provide concrete solutions to some of the most pressing challenges in global finance.

Cape Town as a symbol of Africa’s leadership in development finance

With a predicted growth of more than 4%, Africa should experience this year growth close to that of Asia. Cape Town’s selection as the host city for FiCS 2025 is a powerful symbol of Africa’s growing influence in global development finance. As one of the continent’s most dynamic and cosmopolitan cities, it represents a hub of innovation, economic activity, and financial resilience. This is particularly significant given the increasing role of African nations such as South Africa, Nigeria, and others in shaping global financial discussions.

With South Africa’s leadership on the international stage—exemplified by its G20 presidency—Cape Town stands as a beacon for Africa’s ambition to drive inclusive and sustainable economic growth. The city’s vibrant economy, bolstered by innovation and financial infrastructure, makes it an ideal setting to discuss development finance.

As the continent continues to experience rapid economic growth, Cape Town epitomizes Africa’s commitment to not only addressing environmental challenges but also seizing the opportunity to position itself as a leader in global economic governance. The city’s selection reflects Africa’s broader ambition to strengthen its voice in development finance, positioning the continent as a key player in the global financial ecosystem.

Development banks: anchors of stability and drivers of sustainable growth

The FiCS 2025 Summit is co-organized by the Development Bank of Southern Africa (DBSA) in collaboration with the Asian Infrastructure Investment Bank (AIIB), and supported by the French Development Agency (AFD Group). This strategic partnership highlights the international scale of the event, aimed at bringing together PDBs from all over the globe.

FiCS gather 536 PDBs operating in 155 economies. Taken together, they represent a total of 23 trillion dollars in assets worldwide and inject around 2.5 trillion dollars into the economy every year, which is about 10% of annual global financing. As counter-cyclical investors, they play a critical role in maintaining economic stability, ensuring liquidity even in times of crisis. Beyond stability, PDBs act as catalysts for private capital, de-risking strategic projects to attract investment. Their focus on long-term financing, particularly in infrastructure and the green transition, positions them as key enablers of sustainable growth. At the same time, their support for SMEs and innovation fosters economic dynamism and job creation. Through global cooperation, PDBs also help align financial flows with development and climate goals, reinforcing their influence in shaping the future of finance.

In these uncertain times, the commitment of public banks is essential, as they have a dual mandate. On the one hand, they support national development strategies by supporting the fight against poverty, growth and job creation in synergy with states. On the other hand, they bear an international responsibility by contributing to the protection of global public goods, particularly in terms of climate and biodiversity. By joining forces, as the DBSA, AIIB and AFD are doing at this summit, these institutions can really make a difference in transforming development finance and ensuring a lasting impact on a global scale.

Shaping global development finance and multilateral solutions

The discussions at the FiCS 2025 Summit will focus on leveraging the capabilities of PDBs to strengthen global development finance, with a particular emphasis on three priorities: climate finance, inclusive finance to help tackle inequalities and financing digital infrastructures.

FiCS 2025 will bring together over 2,000 participants, including CEOs of PDBs, representatives from international organizations, government officials, private sector leaders, regulators, philanthropies and civil society groups. Scheduled back to back with the first G20 Finance Ministers and Central Bank Governors meeting under South Africa’s presidency, the summit offers a prime opportunity to align discussions on development finance with broader global economic governance.

With such a diverse array of stakeholders, FiCS 2025 will underscore the pivotal role of PDBs in tackling urgent global challenges. Key conversations will focus on fostering collaboration between public and private sectors to design innovative financial instruments and strategies that address the evolving needs of the global economy. The summit will also highlight PDBs as key actors in driving multilateral solutions to these complex issues.

The coalition for sustainable development through sport

This edition of FiCS will not only reinforce the strategic importance of PDBs in global finance but also demonstrate their versatility in tackling development challenges across a wide range of sectors. One of the flagship initiatives at FiCS 2025 will be the Coalition for Sustainable Development through Sport, which underscores the expanding role of PDBs beyond traditional sectors.

Launched at the 2020 FiCS Summit, this initiative calls on development banks to harness the power of sport as a catalyst for advancing the Sustainable Development Goals (SDGs). The coalition has already committed $10 billion by 2030 to fund sustainable and inclusive sports infrastructure, particularly in underserved communities where such investments can drive broader social and economic benefits.

By integrating sport into the development finance agenda, the coalition highlights the adaptability of PDBs in fostering progress across multiple sectors, including health, education, and social cohesion. At FiCS 2025, discussions will focus on scaling up these efforts, identifying innovative financing mechanisms, and unlocking new opportunities to use sports as a driver of inclusive economic growth.

The FiCS PDBs reference book: a milestone in development finance

A key highlight of FiCS 2025 will be the unveiling of the FiCS PDBs reference book, scheduled for release in a complete version by June 2025 during the Seville conference on Development. This publication, co-produced by the FiCS Secretariat, the French Development Agency (AFD), and the World Bank Group, offers a comprehensive analysis of the growing role of public development banks (PDBs) in global finance. Drawing on data from the FiCS PDB database, the book delves into the impact of PDBs on financing the SDGs, addressing inequality, promoting sustainable growth, and enhancing economic resilience.

The FiCS reference book will serve as an essential resource for policymakers, financial institutions, and other key stakeholders seeking to understand the evolving role of PDBs in driving sustainable development. Through detailed case studies and expert insights, it emphasizes the importance of governance, financial sustainability, and international cooperation in maximizing the effectiveness of PDBs.

2025 is set to be a pivotal moment for development finance

FiCS 2025 comes at a time of growing global economic uncertainty, positioning the summit as a vital platform for addressing the challenges in development finance. It will offer a space for stakeholders to explore strategies for improving financial governance, refining regulatory frameworks, and building investor confidence in emerging markets. With economic pressures mounting worldwide, FiCS 2025 will be a crucial moment to mobilize resources, close financing gaps, and scale up transformative policies aimed at driving inclusive, sustainable growth.

As the world continues to confront the complex challenges of the 21st century, development finance institutions like PDBs will remain central to efforts aimed at building a more resilient and equitable global economy. FiCS 2025 will mark a critical step forward in this ongoing process.