Synopsis
India’s G20 presidency comes at a time when its South Asian neighbours Sri Lanka, Bangladesh and Pakistan are seeking urgent IMF funds due to an economic slowdown caused by the COVID-19 pandemic and the Russia-Ukraine war.
There are some disagreements over restructuring debt for distressed economies, the chief of the International Monetary Fund said on Saturday on the sidelines of a G20 meeting, adding that banning private cryptocurrencies should be an option.
India’s G20 presidency comes at a time when its South Asian neighbours Sri Lanka, Bangladesh and Pakistan are seeking urgent IMF funds due to an economic slowdown caused by the COVID-19 pandemic and the Russia-Ukraine war.
China, the world’s largest bilateral creditor, urged G20 nations on Friday to conduct a fair, objective and in-depth analysis of the causes of global debt issues as clamour grows for lenders to take a large haircut, or accept losses, on loans.
“On debt restructuring, while there are still some disagreements, we now have the global sovereign debt roundtable with consideration of all public and private creditors,” IMF Managing Director Kristalina Georgieva told reporters after the roundtable she co-chaired with Indian Finance Minister Nirmala Sitharaman.
Did you Know?
S has launched a new enterprise on the Metaverse with the aim of accelerating cloud adoption among Indian firms. The interactive and immersive ‘cloud on wheels’ platform will enable customers to experience the full range of S ’s offerings and reimagine processes for improved business outcomes.
View Details » “We just finished a session in which it was clear that there is a commitment to bridge differences for the benefit of countries.”
Apart from restructuring debt, regulating cryptocurrencies is another priority area for India, which Georgieva agreed with.
“We have to differentiate between central bank digital currencies that are backed by the state and stable coins, and crypto assets that are privately issued,” Georgieva said.
“There has to be very strong push for regulation… if regulation fails, if you’re slow to do it, then we should not take off the table banning those assets, because they may create financial stability risk.”
Saturday, 25 Feb, 2023Experience Your Economic Times Newspaper, The Digital Way!Read Complete Print Edition »
- Front Page
- Pure Politics
- Economy & Companies
- Companies
- More
-
PM Modi Urges G20 to Focus on World’s Most VulnerablePrime Minister Narendra Modi called on the G20 to provide “stability, confidence and growth to the global economy” as the world grapples with geopolitical tensions, disruptions in global supply chains, rising food prices and swelling debt levels in some countries.
New Delhi Trying to Bridge Gap Over Wording of CommuniqueIndia, which played an effective role in driving consensus at the Bali G20 summit on the leaders’ declaration, is faced with the challenge of bridging differences over references to the Ukraine-Russia conflict in the joint communique at the end of the two-day meeting of the grouping’s finance ministers and central bank governors in Bengaluru.
Zee Gets Breather as NCLAT Stays Insolvency ProcessThe National Company Law Appellate Tribunal (NCLAT) on Friday granted interim relief to Zee Entertainment Enterprises Ltd (ZEEL), staying bankruptcy proceedings against the media company.