The UN Trade and Development Agency warns that the financial system could harm global trade, especially in developing countries. A report shows that financial markets now heavily influence global trade, impacting development worldwide. Secretary-General Rebeca Grynspan emphasizes the importance of credit lines and capital flows in trade. Global growth is expected to slow due to financial volatility and geopolitical tensions. Developing economies face higher financing costs and climate-related risks, hindering growth. UNCTAD calls for reforms to align trade and finance for long-term stability, including modernizing trade rules and strengthening capital markets. Integrated policy frameworks are needed to recognize the connection between trade, finance, and sustainability.
Read more at Yahoo Finance: Global financial system must adapt to better serve economy, UN trade agency says
