Janet Yellen Takes Charge: G-20 Summit Will Tackle Urgent Global Issues Head-On
U.S. Treasury Secretary Janet Yellen plans to seek support from G-20 nations for increasing lending resources for IMF and World Bank, as well as address issues like debt relief and climate change. She also reveals the U.S.'s request to lend $21 billion to IMF trust funds for the poorest countries.
U.S. Treasury Secretary Janet Yellen has announced her plans to work at the G-20 summit in India to garner support for increasing lending resources for the International Monetary Fund (IMF) and the World Bank. Yellen seeks to build G-20 support for a proportional increase in IMF quota funds, which would boost lending resources without immediately altering the shareholding structure.
She emphasized the need for additional resources to combat global challenges, such as poverty reduction, global health security, and climate change. Yellen also revealed that the United States has requested permission from the U.S. Congress to lend $21 billion to IMF trust funds, including those designated for the poorest countries.
This injection of funds is crucial in addressing the urgent resource needs of these nations. The Treasury Secretary applauded the progress made by the World Bank and other multilateral development banks in expanding lending resources and addressing pressing issues like climate change and pandemics.
Treasury Secretary Janet Yellen continued to pledge US financial assistance for Ukraine ahead of the G-20 summit in India https://t.co/QZAM41QTGH a través de @bpolitics
— maria betancur n (@mariabetancur9) September 9, 2023
She mentioned that near-term balance sheet changes and medium-term steps recommended by a G20 capital adequacy review could generate an additional $200 billion over the next decade. Debt relief for poorer countries was another topic emphasized by Yellen, particularly in the presence of China, the world's largest bilateral lender.
She expressed her support for predictable and timely debt relief efforts, including under the G20's Common Framework for Debt Treatment, where progress has been lacking. Furthermore, Yellen highlighted the importance of international support for Ukraine, advocating for timely economic assistance through the IMF's $15.5 billion Ukraine loan program and the proposed 50 billion-euro support package from the European Union.
She noted that due to Russia's withdrawal from a Black Sea grain deal, there is an urgent need for support for the G20's Global Agriculture and Food Security program and the UN's International Fund for Agricultural Development.
While acknowledging the challenges of crafting a joint communique at the G-20 Summit, Yellen expressed the willingness of the United States to work with India and other nations to address contentious issues and find compromise. She emphasized the effectiveness of the G20 as a forum for constructive dialogue and cooperation on global issues.
