October 15, 2020
2 mins read

G30 calls for collective efforts to tackle debt crisis

The G30 urged the International Monetary Fund (IMF) to mobilize global liquidity on a larger scale than ever before, scale up its crisis lending in low-income countries, and use far more of its existing non-concessional resources to mitigate economic fallout from Covid-19….Reports Asian Lite News

The G30 has said that rising debts have threatened funding for development priorities and called for urgent policy response to support the most vulnerable countries.

The G30, established in 1978, is an independent global body comprising economic and financial leaders from the public and private sectors and academia, reports Xinhua news agency.

The international response to the ongoing pandemic in middle- and low-income countries pales by comparison to the domestic policy response in advanced economies, former US Treasury Secretary Lawrence Summers, co-chair of the working group’s steering committee, said in a webinar on Wednesday.

Summers, who is also a professor at the Harvard University, noted that new creditors represent the bulk of debt payments from low-income countries in the wake of the pandemic shock.

Adapting the international financial architecture to these and other new stakeholders will take time, but urgent responses to the pandemic cannot wait for this process to run its course, according to the report, which called on the international community to adapt system to ensure proper role for the new creditors.

The G30 urged the International Monetary Fund (IMF) to mobilize global liquidity on a larger scale than ever before, scale up its crisis lending in low-income countries, and use far more of its existing non-concessional resources to mitigate economic fallout from Covid-19.

Debt relief and supporting the poorest are among the issues being discussed during the ongoing virtual annual meetings of the IMF and World Bank Group, which runs from October 12 through October 18.

World Bank Group President David Malpass welcomed the G20’s extension of debt relief program, calling for further efforts to help the poorest countries.

“Some core DSSI-related problems are still unresolved, notably lack of participation by private creditors and incomplete participation by some official bilateral creditors,” said the World Bank chief.

Also read:IMF Foresees Steep Fall And Rise For India’s GDP

Previous Story

Kangana Finishes ‘Thalaivi’ Latest Schedule

Next Story

‘You Can Expect The Unexpected’

Latest from Economy

Gita Gopinath to Exit IMF in August

The IMF’s Managing Director Kristalina Georgieva confirmed Gopinath’s departure and said a successor will be named “in due course.”…reports Asian Lite News Gita Gopinath, the First Deputy Managing Director of the International

Bid to protect younger workers in UK

Call for Evidence launched into unpaid internships as some employers fail to pay young workers despite ban…reports Asian Lite News The government has taken a significant step towards protecting younger workers from

UK Govt unblocks fusion planning rules

The new plans will integrate fusion into the Nationally Significant Infrastructure Project (NSIP) regime, placing fusion energy projects on an equal footing with other clean energy technologies such as solar, onshore wind,

Unemployment rate spikes in UK

The unemployment rate has risen to 4.7%, its highest in four years, while the number of job vacancies has now been falling continuously for three years…reports Asian Lite News The UK jobs

Trump Plans Global Tariff Shake-Up

Those to be covered under the new measure are described by Trump as “not big” and ones that “don’t do that much business.”…reports Asian Lite News US President Donald Trump unveiled a
Go toTop