G7 Backs Expanded IMF, World Bank Support for Vulnerable Economies
Paris-Group of Seven finance ministers agreed that the International Monetary Fund and World Bank should intensify support for vulnerable countries facing mounting economic and financial pressures, French.
Finance Minister Roland Lescure said on Tuesday
Lescure made the remarks as he arrived for the second and final day of a G7 finance ministers’ meeting in Paris, where officials from the world’s leading industrialized economies have been discussing global growth risks, debt pressures and development financing.
The French minister said participants broadly agreed that multilateral financial institutions needed to play a stronger role in assisting countries struggling with economic fragility and external shocks.
A joint communiqué outlining the outcomes of the meeting is expected later on Tuesday.
The discussions come as developing economies continue facing pressure from high borrowing costs, slowing global trade, climate-related disruptions and the lingering effects of recent geopolitical conflicts on food and energy markets.
International financial institutions, including the IMF and World Bank, have faced increasing calls from advanced economies and developing nations to accelerate lending reforms, expand crisis financing and improve debt restructuring mechanisms for low-income countries.
G7 officials have also been under pressure to demonstrate coordinated support for vulnerable economies amid concerns that widening debt burdens and fiscal instability could undermine global economic recovery.
