New Delhi: governments are cutting back on debt just as they face their greatest threat from multilateralism.
She made this statement while addressing a G20 session held online by the finance ministry and the Reserve Bank here in preparation for the group's summit next month in New Delhi. "In recent years, we haven't seen anything like these massive difficulties."
She went on to say that New Delhi has made sure that geopolitical issues haven't gotten in the way of international cooperation, which is the summit's primary goal.
The Indian G20 presidency has placed a premium on dealing with the vulnerabilities in international debt that many countries face today. The minister noted the many obstacles faced by multilateral lenders in attempting to find debt restructuring solutions for low-income and vulnerable middle-income countries. He urged the international community to work together and find stronger ways to coordinate in this area.
She called for concerted efforts to ensure a better future for all, noting that New Delhi has so far ensured common ground is reached on all economic issues, especially in finding a solution to the debt overhang that many middle-income countries are facing today, and adding that a common thread in the current G20 agenda is preparing for a better tomorrow for all.
Multilateral lending agencies are under increasing pressure from both borrowers and lending nations to broaden their operations beyond their core developmental mandate, and this has been a consistent focus of efforts to address the challenges to multilaterism. To discover long-term answers, the G20 has convened an expert panel.—Inputs from Agncies