UPDATE - Turkish president says strong cooperation, sustainable supply chains needed to revive global trade

UPDATES WITH MORE REMARKS BY TURKISH PRESIDENT

By Serdar Dincel

ISTANBUL (AA) - The Turkish president on Saturday said deep-rooted international cooperation, new policy tools and sustainable supply chains are needed for the revival of global trade.

Addressing the G20 summit in Johannesburg, South Africa, Recep Tayyip Erdogan said the challenges faced affect not only the least developed countries but all economies, arguing that trade's contribution to global growth has weakened over time.

"We consider it important to strengthen international trade rules in a way that supports development and, in particular, to reaffirm our commitment to the principle of special and differential treatment under the World Trade Organization," he underscored.

- Ankara supports for adopting approach based on fair treatment in debt restructuring processes

Erdogan said the total debt ratio worldwide has reached 324% of global GDP, and stands at around 89% in Türkiye.

"This relatively low level of indebtedness provides us with significant fiscal space both to accelerate structural transformation and to allocate additional resources for investments. Unfortunately, most low-income economies do not have this advantage.

"These countries are effectively trapped between high financing costs and shrinking fiscal space," the Turkish president said.

Erdogan expressed Ankara’s support for the adoption of an approach based on fair and equal treatment in debt restructuring processes, especially for low-income countries.

"I invite the entire G20 to assume greater responsibility in building a more inclusive global economy where no one is left behind," he added.

He said total global development aid, which fell 9% in 2024, is expected to decline by as much as 17% in 2025, which signals "significant losses" for Africa.

Türkiye places particular importance on developing financing models for sustainable development, especially in the least developed countries, by mobilizing local resources, he highlighted.

The Turkish president is in Johannesburg for the summit, a two-day event that began on Saturday and focuses on addressing some of the world’s most pressing challenges.