For almost two years, I have been sharing discussions in this column about global challenges in development, sustainable growth, and the evaluations of institutions like the Organisation for Economic Co-operation and Development (OECD), the International Monetary Fund (IMF), and the World Bank on financing development. Under the OECD umbrella, we have been exploring new approaches to development with increasing urgency in recent times. These discussions are not limited to underdeveloped or midlevel developing countries, as even emerging and developed economies now consider development and sustainable living standards as critical topics.

Research based on international organization reports and opinions of economists worldwide highlights that the global inflation problem may persist for a few more years. Data from the International Labor Organization (ILO) also reveal that the purchasing power of over 3 billion blue- and white-collar workers worldwide is facing significant challenges. Obstruction in development, barriers to growth and the need for high-value-added production have become top priorities for countries that sought to develop Africa a decade ago.

So, what are the underlying causes of development obstruction? One issue is the lack of risk-taking entrepreneurship among Generation Y compared to Generation X. The entrepreneurial spirit seems to lack enthusiasm when we compare the two generations on international youth platforms of organizations.

Global uncertainties

The uncertainties arising from global and regional geopolitical developments and economic turmoil have become a significant challenge in achieving sustainable development goals and addressing the climate crisis. Unexpected events such as the COVID-19 pandemic and the ongoing Russia-Ukraine war have deeply shaken the global economic system. The debates in the Atlantic and Asia-Pacific regions are also significantly challenging the landscape of investment appetite. The ever-changing dynamics of these regions have added a new layer of complexity to the already intricate world of global finance, creating a challenging environment for those seeking to venture into new investment opportunities.

Accordingly, every positive step taken by the leaders of the world's leading countries to eliminate these uncertainties is crucial in restoring hope and progress toward sustainable development. However, among the various pillars of next-generation development, one stands out prominently: the creation of innovative and sustainable financing methods.

One pillar of next-generation development is innovation and 360-degree digitalization, while the other is a move toward "sustainable export." This move involves prioritizing the institutionalization, digitalization and integration of small and medium-sized enterprises (SMEs) with the world economy, enabling the real sector and SMEs to compete sustainably.

The crux of next-generation financing methods in the realm of development lies in the visionary establishment of a regional financial hub right within the heart of the country. This groundbreaking approach unlocks unprecedented opportunities for sustainable development and prosperity. That's why the official launch of the Istanbul Finance Center (IFC), with its first phase now open, is a critical step toward the new generation development movement and "Türkiye's second century."

The Istanbul Finance Center will nurture the entrepreneurial spirit of Türkiye's young and high-quality society by providing next-generation financing methods.

As economists and individuals, we all share the responsibility for the success of the Istanbul Finance Center, as it paves the way for Türkiye to become a rising playmaker country of the 21st century. Let's work together to make Istanbul Finance Center a driving force for next-generation development and financing, propelling Türkiye toward a brighter future.