G24 Calls on Int'l Financial Institutions to Provide Support to Countries Affected by Global Crises

The G24 Ministers and Governors Meetings was held, yestreday, Tuesday in the presence of IMF Managing Director Kristalina Georgieva and President of the World Bank Group Ajay Banga, as well as representatives of governments from various countries of the world and international financial institutions.

 H.E. Dr. Rania Al-Mashat, Minister of International Cooperation and Governor of Egypt at the World Bank, representing the Arab Republic of Egypt, also participated in the meeting.

The G24 issued a final communique, affirming its awareness of the profound human suffering resulting from various crises around the world, and the huge losses they have caused to individuals and societies. It also called for a strong commitment and stressed the urgent need to make a strong and united international effort to restore peace and stability and rebuild ways to live for those affected. It also called on international financial institutions to provide support to affected countries in a just manner.

The communique issued by the G24 stated that despite the number of expectations for recovery and adjusted growth in advanced economies, and stable growth in emerging and developing economies, there are weaknesses and doubts that still persist in the global economic scene, especially in emerging markets and developing economies, pointing out that the expected growth for next year is less than the average levels of the twenty years prior to the COVID-19 pandemic, and indicators show that achieving the SDGs by 2030 has become more difficult than before, thus requiring the international community, especially multilateral organizations, to work together to accelerate progress.

The statement also indicated that external risks are likely to remain with the continuation of anti-inflation policies, leading to an additional tightening of monetary policy, which will further exacerbate the already high levels of debt, and the imbalance of public finances and the current account with negative effects on economic prospects.

Moreover, the rapid pace of AI adoption and digital transformation, while presenting new opportunities, portends uncertain risks, especially in labor-intensive sectors in emerging market economies and low-income countries. Additionally, ongoing recurring geopolitical tensions that disrupt supply chains could negatively impact economic activity. The G24 urged renewed multilateral cooperation to support vulnerable countries in mitigating downside risks and overcoming these challenges.

It is worth noting that Dr. Rania Al-Mashat, Minister of International Cooperation and Egypt’s Governor to the World Bank, delivered Egypt’s speech during the meetings, where she emphasized what was stated in the final statement and Egypt’s support for the points contained therein. H.E. highlighted supporting the World Bank’s development roadmap, stressing that the commitment of the Bank’s allocation to a percentage of the World Bank Group’s annual financing to projects related to climate action is worthy of appreciation, but this should not be at the expense of financing the basic development challenges of eradicating poverty and promoting shared prosperity on a livable planet, which requires the need to support project structuring and enhance their bankability.