As part of a plan to combat the Coronavirus pandemic, G20 finance ministers and central bankers pledged Tuesday to address the debt burden of low-income countries and deliver aid to emerging markets.
The announcement followed a second round of virtual talks after G20 leaders pledged a “united front” last week and said they were injecting $5 trillion into the global economy to head off a feared deep recession.
The ministers and bankers from major industrialized and emerging economies also welcomed a $160 billion World Bank relief package to be deployed over the next 15 months to support its member countries, the Saudi hosts said in a statement.
They agreed to press ahead with a plan to address “the risk of debt vulnerabilities in low-income countries” and work to “swiftly deliver… financial assistance to emerging markets and developing countries”, the statement said.
US President Donald Trump and Russian President Vladimir Putin joined last week’s emergency summit chaired by Saudi Arabia’s King Salman, who called for coordinated action while facing pressure to end an oil price war between Riyadh and Moscow that has roiled energy markets.
As concerns mount for poorer countries without access to capital markets or adequate health facilities, G20 leaders have pledged to work with bodies such as the International Monetary Fund to deploy a robust financial package to support developing nations.
G20 trade and investment ministers also held an extraordinary meeting on Monday, as they assess the impact of the crisis on global trade.
They said they were working to ensure the flow across borders of medical supplies and equipment as well as critical agricultural products, and other essential goods and services.
“We will guard against profiteering and unjustified price increases,” they said in a statement, while also warning against trade barriers and disruption to global supply chains.
