SME Times News Bureau | 19 Oct, 2019
With protectionism taking toll on the growth of
the world economy and affecting many countries, Finance Minister Nirmala
Sitharaman has said that the ongoing trade wars have caused uncertainties and
will ultimately impact the flow of capital, goods and services.
Nirmala Sitharaman, who is in Washington leading
the Indian delegation to the Annual Meetings Plenary session of the
International Monetary Fund (IMF) and the World Bank Group held in Washington
DC, said on Friday that trade wars and protectionism have generated
uncertainties that will ultimately impact flow of capital, goods and services.
She called for ‘concerted action’ to mitigate the
disruption on account of synchronous slowdown and to invoke the spirit of
multilateralism for global growth.
She further said that the increased trade
integration, geopolitical uncertainties, and high accumulated debt levels
necessitate strong global coordination and that we need not wait for the
slowdown to become a crisis.
The 40th meetings of the International
Monetary and Financial Committee (IMFC) of the IMF are being held at this
year’s Annual Meetings.
During the day, three sessions of the IMFC took
place. The IMFC Introductory Session was focused on Global Developments and
Prospects and the discussions centred on the World Economic Outlook released on
October 15, 2019.
The Early Warning Exercise discussed upcoming
risks to global economy and stability.
A special session on IMF resources and governance
was also held early in the day, in the context of the 15th Round of
the quota discussions concluding this year.
Secretary, Department of Economic Affairs, Shri
Atanu Chakraborty, led the Indian delegation at this session.
Sitharaman also attended the Working Lunch
Session of the Development Committee (DC), the ministerial-level committee of
the IMF and the World Bank. In the DC Lunch, the members discussed about the
global economic outlook.
Earlier in the day, Finance Minister Smt. Nirmala
Sitharaman also led the Indian delegation to the G20 Finance Ministers and
Central Bank Governors meeting in which the deliberations centred on
international taxation and Stable coins.
The Ministers and Governors also took updates
from the G20 Deputies on Quality Infrastructure Investment, Debt
Sustainability, Financing for Universal Health Care and Building Effective
Country Platforms, and from the Africa Advisory Group on the Compact with
Africa (CwA) initiative.
On the discussions at the session regarding the
work underway on developing a consensus solution on tax challenges arising from
digitalization, the Finance Minister stated that a unified approach to the
nexus and profit allocation challenges is a promising one that merits serious
A solution that is simple to implement, simple to
administer and simple to comply with is needed, she said.