Mumbai, August 11th: Emphasizing the need for united global actions led by affluent nations, Finance Minister Nirmala Sitharaman urged collective efforts to aid heavily indebted countries in reducing their financial burden. She spoke in the context of the prevailing multilateral challenges, addressing a virtual G20 session organized by the finance ministry and the Reserve Bank, as a precursor to the upcoming summit in New Delhi next month.
Sitharaman expressed concern over the most formidable challenges faced by multilateralism in recent times, remarking, “We are currently confronting unprecedented challenges, unlike any seen in recent history.”
Amidst these complexities, she highlighted that New Delhi has remained steadfast in maintaining a balance between geopolitical disparities and the fundamental principle of international cooperation, which serves as the bedrock of the G20’s mission and objectives.
Under India’s G20 presidency, significant attention has been placed on effectively managing global debt vulnerabilities that several nations are grappling with today. The Finance Minister underscored the urgency for collaborative action from the global community, advocating for more robust coordination in debt restructuring endeavors, particularly for low-income and vulnerable middle-income countries that are wrestling with debt-related stress and uncertainties. She acknowledged that finding solutions within multilateral lending institutions has presented considerable challenges.
Sitharaman’s call was for concerted endeavors to create a better future for everyone. She highlighted the common theme running through the current G20 agenda – the preparation for an improved tomorrow for all. During India’s presidency, the Minister emphasized that consensus has been sought on all economic matters, especially in tackling the issue of debt burdens affecting many middle-income nations.
Furthermore, she pointed to the persistent commitment to address the obstacles posed by shifts in multilateralism dynamics. These shifts have led to mounting demands on multilateral lending agencies to extend their operational scope beyond their primary developmental objectives. As a response, the G20 has established a panel of experts to formulate lasting solutions to these challenges.
