MICs ink 'Makati Declaration' to fight middle-income trap

Middle-income countries (MICs) attending a forum chaired by the Philippines have signed the 'Makati Declaration,' a strategic action plan to foster sustainable development and prevent the 'middle-income trap'.

The declaration outlines key priorities including financing for development, creating new metrics beyond GDP to measure progress, debt sustainability, climate action and finance, digital transformation, gender equality, decent work, and social protection.

Foreign Affairs Secretary Enrique Manalo highlighted that despite economic growth, MICs continue to face specific challenges such as inequalities, unemployment, and the devastating effects of climate change.

He also noted that MICs are often left out of concessional financing and enhanced development cooperation opportunities while managing competing priorities and debt burden.

The initiative seeks to strengthen the voice and influence of middle-income countries, including Armenia, Belarus, Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, El Salvador, Guatemala, Honduras, Jamaica, Lebanon, Mexico, Morocco, Namibia, Panama, Peru, the Philippines, and Uruguay, within the UN system's development dialogue.

The declaration emphasizes the need for the recognition and consideration of MICs' concerns in ongoing UN processes.