In the last two decades the level of heterogeneity in the developing world has grown significantly. The North-South divide has given way to a more diverse and heterogeneous world where international inequalities remain, but along a more graduated spectrum of development levels among countries. As a consequence, development problems and capacities are diverse in accordance with countries´ conditions; and, consistently, any inclusive development agenda must be more complex and comprehensive than ever before. As part of these changes, new regional and global powers have emerged, changing the international economic and political landscape. This process challenges the existing global governance structures and demands a more equitable distribution of voices and responsibilities among countries at the international level. There has also been a notorious enlargement of the international capital markets, in a context of highly deregulated flows. This has increased the risks of episodes of financial instability and, in a context of low international tax cooperation, has made more difficult to combat tax avoidance, tax evasion and illicit flows. On the other hand, the process has also diversified the sources of development financing. Finally, globalisation has expanded the reach of international public goods, some of which are closely linked to development goals. This means that national development agendas have to consider the international collective action necessary to define new global rules and governance. The panel aims to discuss how to face the new development challenges in this international context.