WASHINGTON, Oct 14 (KUNA) -- Ministers of finance and economy of the Intergovernmental Group of Twenty-Four on International Monetary Affairs and Development, known as G-24) noted on Tuesday with deep concern the humanitarian suffering caused by fragility, violence and wars across the world, and called for an end to all hostilities.
In a press statement following their 114th meeting in Washington, the ministers called for call attention to the importance of international law and strengthening the enforcement of the principle of peaceful settlement of disputes as enshrined in the Charter of the United Nations.
They emphasized the vital nexus between peace and development. In this context, we welcome recent developments in the Middle East, and hoped that it will pave the way for a comprehensive and just peace.
They added that the international community must stay engaged in conflict and fragile states, honor existing commitments, and provide support for recovery, reconstruction, and long-term development.
"Support must also extend to host countries disproportionately affected by refugee and displacement crises, ensuring they receive predictable financing and development support alongside humanitarian aid. Such an approach is essential to strengthen national resilience and alleviate pressure on host communities, fostering long term stability and inclusive growth," they stressed. The minister estimated that following a succession of adverse shocks in recent years, global growth remains below pre-pandemic levels. "Rising trade tensions and heightened policy uncertainty are creating substantial medium-term headwinds, and growth is likely to remain uneven and fragile, constrained by rising fiscal and debt vulnerabilities. Inflation is easing but remains persistent, with risks from policy uncertainty that could undermine the ongoing disinflationary process," they projected. They pointed out that trade tensions and policy uncertainties are weighing heavily on emerging markets and developing economies (EMDEs). "Deteriorating terms-of-trade, reduced export volumes, and declining foreign currency earnings, including remittances, are magnifying risks to macroeconomic stability in many EMDEs," they indicated. "As a result, economic growth and sustainable development remain constrained, and growth prospects are insufficient to offset the cumulative damage from successive shocks. Across EMDEs, domestic policy has been critical to containing inflation risks and to mitigating the impact of elevated uncertainty." The ministers emphasized that continued central banks' independence is therefore crucial to maintaining monetary policy credibility and effectiveness. "Efforts to strengthen fiscal resilience by rationalizing and reprioritizing spending and structural reforms to support private sector-led growth are ongoing, but the constrained policy space, debt distress and current uncertainty underscore the urgent need for collective and coordinated solutions supported by multilateral institutions," they said. They affirmed the International Monetary Fund (IMF) support for EMDEs remains crucial, and a strong, adequately resourced IMF complemented by Regional Financing Arrangements, is essential for crisis prevention, effective response, and safeguarding international monetary and financial stability. To strengthen the IMF's lending capacity, the ministers urged members to advance their domestic processes to ensure the timely completion of the 16th General Review of Quotas (GRQ). "At the same time, the IMF could also consider exploring a mechanism for the regular issuance of Special Drawing Rights (SDRs) to better support EMDEs and LICs. We also call on members to continue the dialogue on and resolve the impediments to the use of (SDRs) for the acquisition of hybrid capital instruments by Multilateral Development Banks (MDBs)," they concluded. Current members of the G-24 include Algeria, Argentina, Brazil, Colombia, Cأ´te d'Ivoire, Congo, Ecuador, Egypt, Ethiopia, Gabon, Ghana, Guatemala, Haiti, India, Iran, Kenya, Lebanon, Mexico, Morocco, Nigeria, Pakistan, Peru, the Philippines, South Africa, Sri Lanka, Syria, Trinidad and Tobago, and Venezuela. Additionally, China participates as a special invitee. (end) asj.ibi