CAREC Institute and MCDF Launch Workshop on Debt Sustainability for Central and West Asia
The CAREC Institute (CI) and the Multilateral Cooperation Center for Development Finance (MCDF) co-hosted the inaugural Workshop on Debt Sustainability for Central and West Asia from November 18 to 21, 2024, at the CAREC Institute headquarters in Urumqi, with support from the Shuimogou District. This event marked a significant milestone as CI’s first workshop dedicated to debt sustainability in the region and the first collaboration between the two organizations.
The workshop seeks to tackle pressing challenges in sovereign debt management and fiscal stability, convening over 40 participants, including senior officials from the debt management offices of nine CAREC member countries—Azerbaijan, Georgia, the People’s Republic of China, Kazakhstan, Kyrgyz Republic, Mongolia, Pakistan, Tajikistan, and Turkmenistan. It also brings together representatives from leading multilateral development banks, such as the World Bank, the Asian Development Bank, the Asian Infrastructure Investment Bank, the Eurasian Fund for Stabilization Development, the Eurasian Development Bank, alongside key Chinese financial institutions.
Dr. Kuat Akizhanov, Deputy Director Two of the CAREC Institute, welcomed participants and underscored the importance of the event in fostering regional cooperation and tackling fiscal challenges. In his opening remarks, Mr. Zhongjing Wang, Chief Executive Officer of MCDF, emphasized the center’s commitment to transforming debt into a tool for sustainable development. “This workshop exemplifies MCDF’s mission to turn debt from a financial burden into an opportunity for long-term development,” he said, stressing the alignment with the region’s goals of fostering responsible borrowing and lending practices amid shifting macroeconomic realities.
Dr. Jingjing Huang, Deputy Director One of the CAREC Institute, highlighted the urgency of addressing sovereign debt distress, particularly in the post-pandemic context. “Sovereign debt distress remains a significant challenge with long-term implications for economic stability and growth,” she remarked. “This workshop equips policymakers with the tools necessary to build financial resilience and implement sustainable fiscal policies.”
The event featured in-depth discussions on key topics such as debt management strategies, annual borrowing plans, liability and risk management, debt sustainability analysis, and debt restructuring. Leading experts in public debt management facilitated these sessions, providing practical insights into addressing sovereign debt challenges.
Over the course of the workshop, interactive sessions and peer-to-peer learning will foster open dialogue between borrowers and lenders. This collaborative approach will enable participants to develop actionable strategies for sustainable debt management, strengthen borrower-lender relationships, and share best practices. By focusing on aligning debt strategies with sustainable development goals, the workshop is set to reinforce the crucial role of regional cooperation in ensuring long-term economic resilience and prosperity across Central and West Asia.