Despite the growth in development financing, several persistent challenges hinder its full potential. Fragmented data systems make it difficult to trace the impact of funding across sectors. Corruption, inefficiencies, and lack of monitoring undermine financial accountability. Gender disparities in financial access persist, and youth-led ventures often lack investor confidence due to perceived risk. However, opportunities for transformation are emerging. Digital finance platforms are expanding access to underserved populations, enabling mobile banking, microloans, and digital wallets. Financial technologies (FinTech) are helping to enhance transparency, automate payments, and reduce leakages. Impact investing is aligning private capital with social goals, while community-based financing models are increasing local ownership. Improved financial modeling and data analytics are also helping funders and policymakers make evidence-based decisions and maximize returns on investment.