G20 Finance Track meetings address global economic uncertainties

The G20 Finance Track meetings commenced on Tuesday in Ballito, just north of Durban, with Director-General of National Treasury, Dr Duncan Pieterse, delivering opening remarks that set the tone for a period of critical dialogue and collaboration.

Amidst persistent global uncertainties, Pieterse emphasised the necessity of collective action to navigate the tumultuous economic landscape.

Pieterse highlighted that while there were glimmers of growth in certain sectors, significant challenges loomed large. 

“These include uneven growth trajectories, elevated debt levels, persistent inflationary pressures, and the complex implications associated with tightening financial conditions,” he said.

“At the same time, there are various long-term transitions, including digitalisation, climate finance, and demographic shifts, that are reshaping the foundations of our economy.”

Pieterse added that the multilateral system was being tested, and collective ability to respond will shape the pace of our recovery.

“As the G20, we have a responsibility to demonstrate leadership, and our Presidency places a strong emphasis on strengthening the role of the G20 in delivering concrete solutions, fostering a more stable and effective resilient international financial architecture, enhancing debt sustainability, addressing liquidity challenges, as well as strengthening multilateral development banks.”

During the meeting, deputies were set to engage in structured sessions designed to confront the pressing issues facing the global economy.

A key focus will be an update from the Council of Europe Development Bank on multilateral development banks (MDB) reporting and development framework, which plays a vital role in the G20 MDB roadmap.

Following this, the World Bank will facilitate a pandemic response financing simulation exercise. This exercise aims to provide a collaborative platform where participants can explore strategies for the rapid mobilisation and deployment of resources during global health emergencies.

“The objective is to simulate a coordinated pandemic response finance scenario, allowing participants to explore practical mechanisms for the rapid mobilisation and deployment of resources during a global health emergency,” Pieterse said.

The G20 Finance Track meetings are expected to run until Friday. 

BUSINESS REPORT