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Daily News Egypt
19-07-2025
- Business
- Daily News Egypt
Abdalla leads Egypt's delegation at G20 Finance Ministers & Central Bank Governors Meeting in South Africa
Hassan Abdalla, Governor of the Central Bank of Egypt (CBE), headed Egypt's delegation at the third G20 Finance Ministers and Central Bank Governors Meeting (FMCBG), hosted by South Africa on 17–18 July. The Egyptian delegation included Yasser Sobhi, Deputy Minister of Finance for Fiscal Policies; Menna Allah Farid, CBE Assistant Governor for External Relations; and Alaa Abdel Rahman, Advisor to the Minister of Finance for International Institutions. Abdalla participated in discussions covering macroeconomic developments, the global financial architecture, sustainable finance, Africa's development priorities, and issues relating to the financial sector and financial inclusion. During the sessions, Abdalla highlighted ongoing pressures on the global economy resulting from heightened geopolitical tensions and trade conflicts, stressing the urgent need for coordinated and balanced monetary and fiscal policies to preserve macroeconomic stability. He underscored the importance of anchoring inflation expectations and enhancing liquidity management as key foundations for building economic resilience. In this context, the Governor called for reforming and modernising multilateral financial institutions to improve their efficiency and responsiveness. He urged them to embrace innovative financial tools designed to attract private sector investment, including the reallocation of Special Drawing Rights (SDRs) to support development finance in lower-income and vulnerable countries. Abdalla also stressed the need for comprehensive reform of the global financial architecture, particularly to strengthen the voice and representation of African countries. He advocated for establishing a clear and transparent monitoring and follow-up framework to ensure that proposed reforms lead to tangible, sustainable outcomes. Addressing systemic risks, Abdalla drew attention to the rapid expansion of non-bank financial institutions and the gaps in existing regulatory frameworks. He warned that without effective oversight, these trends could undermine global financial stability, and he called for greater international coordination among regulators to mitigate potential risks. On debt sustainability, Abdalla emphasised the importance of stronger dialogue and cooperation among creditor and debtor nations, credit rating agencies, and international financial institutions to develop integrated and holistic debt management strategies. He advocated for extending the scope of the G20's 'Common Framework' for debt treatment to include middle-income countries that face comparable vulnerabilities. He also urged the adoption of innovative financing mechanisms to reduce debt burdens and support sustainable development. Further, Abdalla called for expanding access to concessional and blended finance for developing countries, stressing the need for nationally led frameworks that align external funding with domestic development priorities. He also highlighted the importance of harmonising environmental classifications across jurisdictions and developing risk-sharing tools to attract more sustainable and green investments. The Governor noted that many developing economies still face significant challenges, including persistent inflationary pressures, a shortage of green finance instruments, and limited flows of sustainable investment projects. He argued that addressing these challenges is essential for delivering on global climate and development commitments. In discussing Africa's development, Abdalla underlined the need to deepen local financial markets and broaden the adoption of advanced technologies—including artificial intelligence—to improve productivity and enhance the quality of financial services. He emphasised that public–private partnerships are critical to delivering strategic infrastructure projects, particularly those with cross-border dimensions that can advance regional integration and trade. Abdalla reiterated Egypt's support for the proposed programme to strengthen cooperation between the G20 and Africa in infrastructure, climate action, and technological innovation over the 2026–2030 period. He stressed that sustained collaboration between African economies and G20 members is vital to achieving shared development goals. Concluding his remarks, Abdalla reaffirmed that financial inclusion remains a cornerstone for fostering equitable and inclusive economic growth. He called for measures to expand non-financial services for small and medium-sized enterprises (SMEs), simplify know-your-customer (KYC) procedures to ease access to financial services, and create reliable, comprehensive databases. Additionally, he emphasised the importance of developing alternative credit assessment models to serve underserved populations while addressing potential bias and exclusion risks associated with artificial intelligence and digital tools. In parallel, Yasser Sobhi, Deputy Minister of Finance, took part in multiple sessions, including discussions on strengthening cooperation between the G20 and the 'Compact with Africa' initiative. This initiative aims to accelerate structural reforms, boost private sector participation, and attract higher flows of foreign direct investment to African and emerging economies. Sobhi also participated in sessions focusing on infrastructure investment and international taxation. Discussions highlighted the crucial role of the private sector in financing and executing infrastructure projects. Participants stressed the need to create a fair and balanced international tax system that reflects the interests of both developed and emerging economies, ultimately promoting tax justice and supporting sustainable revenue generation for developing countries. Menna Allah Farid, Assistant Governor for External Relations at the CBE, attended a session where the G20 African Experts Group presented its recommendations. She welcomed the experts' work to bring forward African perspectives on global economic issues and endorsed proposals to broaden the 'Common Framework' for debt treatment, mobilise additional development finance, optimise the use of Africa's natural and financial resources, and reassess credit rating methodologies that often disadvantage African countries. Farid called on the G20 to integrate these recommendations into its financial track agenda to ensure concrete benefits for the African continent. Looking ahead, the fifth G20 Deputy Finance Ministers and Deputy Central Bank Governors Meeting is scheduled for October 2025, alongside the fourth G20 Finance Ministers and Central Bank Governors Meeting. Both events will take place in Washington, D.C., on the sidelines of the IMF and World Bank annual meetings, where discussions will continue on global financial reform, sustainable finance, and inclusive growth strategies.
Time of India
07-07-2025
- Business
- Time of India
BRICS vital for advancing multilateralism: FM
FM Sitharaman (File photo) NEW DELHI: BRICS is a vital platform for advancing inclusive multilateralism, especially when global institutions are facing a crisis of legitimacy and representation, FM Nirmala Sitharaman has said. Speaking at BRICS Finance Minister and Central Bank Governors (FMCBG) meeting in Rio de Janeiro, FM said India has demonstrated resilience through a combination of strong domestic demand, prudent macro management, and targeted fiscal measures. She emphasised that India's policy response to trade and financial restrictions has focused on diversifying markets, promoting infrastructure-led growth and implementing structural reforms aimed at boosting competitiveness and productivity, finance ministry said in a post on X. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
07-07-2025
- Business
- Time of India
Brics policy voice: FM Sitharaman calls for credible reforms amid global institutional crisis, India cites domestic resilience and macro strategy at Rio meet
Finance Minister Nirmala Sitharaman on Sunday said Brics is a vital platform for advancing inclusive multilateralism, especially at a time when global institutions are facing a crisis of legitimacy and representation. Speaking at the Brics Finance Ministers and Central Bank Governors (FMCBG) meeting in Rio de Janeiro, Brazil, Sitharaman said India has demonstrated resilience through a combination of strong domestic demand, prudent macroeconomic management, and targeted fiscal measures, PTI reported. She further emphasised that India's policy response to trade and financial restrictions has centred on diversifying markets, promoting infrastructure-led growth, and implementing structural reforms aimed at boosting competitiveness and productivity, the finance ministry said in a post on X. The minister underlined that Brics must 'lead by example by reinforcing cooperation, advocating credible reforms, and amplifying the voice of the global South.' "Brics is a vital platform for advancing inclusive multilateralism, and especially when global institutions are facing a crisis of legitimacy and representation, Brics must lead by example by reinforcing cooperation, advocating credible reforms, and amplifying the voice of the global South," Sitharaman said, according to the post. She also highlighted that while South-South cooperation is essential for advancing climate and development goals, the global South should not be expected to carry the main burden of climate action. She said Brics countries are well placed to deepen cooperation on sustainable development. "While South-South cooperation remains vital in advancing climate and development goals, the global South should not be expected to carry the main burden of climate action and Brics countries are well placed to deepen cooperation on sustainable development," she added. On the sidelines of the Brics FMCBG meeting, Sitharaman held a series of bilateral meetings, including with her Russian and Chinese counterparts, where issues of bilateral cooperation and mutual interest were discussed. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
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Business Standard
07-07-2025
- Business
- Business Standard
India diversifying markets amid trade restrictions: FM Nirmala Sitharaman
India's policy response to trade and financial restrictions has centred on diversifying markets, promoting infrastructure-led growth, and implementing structural reforms aimed at boosting competitiveness and productivity, Finance Minister Nirmala Sitharaman said at the BRICS Finance Ministers and Central Bank Governors (FMCBG) meeting. The meeting was held on 5 May in Rio de Janeiro. A post on the Ministry of Finance's social media platform on Monday said that the Finance Minister underlined India's view that BRICS is a vital platform for advancing inclusive multilateralism. '…and especially when global institutions are facing a crisis of legitimacy and representation, BRICS must lead by example by reinforcing cooperation, advocating credible reforms, and amplifying the voice of the Global South,' Sitharaman added. The Finance Minister said that while South-South cooperation remains vital in advancing climate and development goals, the Global South should not be expected to carry the main burden of climate action. 'BRICS countries are well-placed to deepen cooperation on sustainable development,' she said. Addressing the FMCBG, Sitharaman also highlighted how India had demonstrated resilience through a combination of strong domestic demand, prudent macroeconomic management, and targeted fiscal measures.
Times of Oman
07-07-2025
- Business
- Times of Oman
Trump threatens additional 10% duty on countries supporting anti-American policies of BRICS
New Delhi: US President Donald Trump issued a strong warning to countries supporting what he termed were the anti-American policies of BRICS. In a social media post, Trump stated that any country aligning itself with the "Anti-American policies of BRICS" will face an additional 10 per cent tariff on goods. "There will be no exceptions to this policy," Trump wrote, adding, "Thank you for your attention to this matter!" Trump's statement signals a hard stance from the U.S. administration against what it sees as growing opposition from BRICS nations. The response came after the joint statement of the finance ministers and Central Bank Governors (FMCBG) Meeting of BRICS nations voiced against the unilateral imposition of trade and finance-related actions, including the raising of tariffs and non-tariff measures. The statement stated, "We voiced our serious concerns with the unilateral imposition of trade and finance-related actions, including the raising of tariffs and non-tariff measures which distort trade and are inconsistent with World Trade Organisation (WTO) rules." The statement further adds that "In this testing environment, BRICS members have demonstrated resilience and will continue to cooperate among themselves and with other countries to safeguard and strengthen the non-discriminatory, open, fair, inclusive, equitable, transparent, and rules-based multilateral trading system with the WTO at its core, avoiding trade wars that could plunge the global economy into recession or further prolong subdued growth". Altogether BRICS nations - Brazil, Russia, India, China, South Africa and many other developing nations who joined BRICS over the last few years, accounts for nearly half of the world's population and about 40 per cent of the global GDP. The BRICS group now represents about a quarter of the global trade and investment flows. As the tariff postponement deadline is approaching on July 9th, U.S. President Donald Trump also announced that the United States Tariff Letters and Deals with various countries will be delivered starting 12:00 P.M. (Eastern), Monday, July 7th. In a separate social media post, Trump said these letters will be sent to different countries around the world. Earlier, on April 9th, Trump paused the implementation of tariffs for 3 months, which is ending on July 9th.
