Remarks by IMF Managing Director Kristalina Georgieva at the G20 Leaders' Summit in Rio de Janeiro, Brazil
IMF News, November 18, 2024
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- Published: November 18, 2024
Opening message and overview
- Expression of gratitude to leaders for trust in the Fund and support over recent years.
- Stated outcome: the IMF has provided "record-high support to members hit by a series of exogenous shocks."
- Exact liquidity and reserve support delivered: "over $1 trillion in liquidity and reserves."
- Emphasis: "We work hard for your trust."
Strengthening the Fund’s financial capacity
- Actions taken to fortify financial strength and build strong financial buffers to meet "record-high needs of our members":
- "we agreed to increase our quota resources by 50 percent;"
- "we reached and exceeded the G20 goal to lend $100 billion in SDRs to low-income and vulnerable middle-income countries;"
- "we created a new long-term concessional lending instrument – the Resilience and Sustainability Trust;"
- "we reduced the costs for our borrowers through reforms of our charges and surcharges;"
- "and we agreed to deploy IMF income to double our lending capacity for low-income countries."
Macroeconomic stability, growth, and debt challenges
- Core priorities:
- Promoting macroeconomic stability and growth amid weak prospects: "medium-term growth prospects are the lowest in decades."
- Highlighted risks: "Debt is high and rising and geopolitical tensions, regional conflicts, and protectionism threaten to weigh on global prosperity."
- Support offered to members:
- Assistance to countries "faced with the difficult task of rebuilding fiscal buffers to contain debt and prepare for future shocks."
- Support for "strong reforms to lift economic growth prospects."
- Multilateral cooperation on debt and liquidity:
- Ongoing cooperation with the World Bank on the G20 Common Framework;
- Participation in the Global Sovereign Debt Roundtable;
- Development of "a new proposal to help countries faced with liquidity challenges."
Inclusion, representation, and governance reforms
- Rationale: "in a changing world, the Fund must be more inclusive and representative."
- Concrete measures taken:
- On November 1, "our Board of Directors added a third chair for Sub-Saharan Africa, to give more voice to a region that has been underrepresented for a long time."
- Expansion of "our global network of training centers and regional offices to bring us closer to our members."
- "We are significantly increasing the diversity of our staff and management."
- Forward-looking governance work:
- "As agreed by our members, the IMF Executive Board is working to develop, by June 2025, possible approaches as a guide for further quota realignment, including through a new quota formula, under the 17th General Review of Quotas."
- Call to action: "Governance reforms must continue and we count on your ongoing support."
Closing
- Simple closing: "Thank you."
Remarks by IMF Managing Director Kristalina Georgieva, November 18, 2024