The 2008 world financial and economic crisis highlighted risks and vulnerabilities in the international system. Since the crisis, important reforms have been put in place to improve its functioning, stability and resilience. The global financial safety net has been strengthened, new coordination mechanisms have been established, and regulatory reforms have been initiated. Nonetheless, vulnerabilities remain in the banking system, while vulnerabilities in non-bank financial institutions and in the non-financial corporate sector have increased and international capital flows continue to be highly volatile. At the same time, as noted in the Addis Agenda, developing countries are still exposed to the risk of spillover effects. These risks have again come to the fore during the COVID-19 crisis.
The Addis Ababa Action Agenda includes commitments and action items related to institutional structures and governance of the international financial architecture, building on the Monterrey Consensus and Doha Declaration. The Addis Agenda goes further to integrate the three dimensions of sustainable development into the coherence agenda, including environmental and social issues, such as the international movement of people, alongside economic issues. In the Addis Agenda, Governments also reiterated their commitment from Monterrey to further governance reform in international economic decision making. While important steps have been taken to reduce vulnerabilities in the international system and to increase the voice of developing countries, the Addis Agenda states that more needs to be done (see Addis Ababa Action Area monitoring by topic below).