Nirmala Sitharaman virtually attends Global Convergence for Growth Summit
New Delhi, June 12
Union Finance and Corporate Affairs Minister Nirmala Sitharaman participated in the virtual meeting on the Global Convergence for Growth Summit.
The Union Finance Minister attended the meeting from New Delhi on Thursday.
The summit was held to bring together leaders of advanced and emerging economies to discuss ways of supporting a balanced growth anchored in an efficient global framework.
French President Emmanuel Macron presided over the summit that witnessed participation of the top leadership from all the G7 nations, India, Brazil, China, Kenya, South Korea and the IMF.
During her intervention at the Summit representing India, Sitharaman said, "In today's interconnected world, prosperity and challenges are shared, but the consequences of conflicts and uncertainty fall disproportionately on developing countries and the Global South. The situation demands coordinated global action. We must strengthen multilateral cooperation to build resilient economies, accelerate sustainable development, and ensure inclusive growth that benefits all."
On the issue of global imbalances, the Union Finance Minister said, "Not all imbalances are alike; some reflect differences in demographics, development stages, resource endowments, or economic structures. Our focus should, therefore, remain on excessive and persistent imbalances while recognising that the scale of domestic needs varies significantly across countries."
Speaking for the Global South, Sitharaman further said, "The burden of adjustment should not fall disproportionately on countries that are not the drivers of these imbalances. India, like many developing economies, remains largely peripheral to both the origination and propagation of global imbalances; yet, we continue to face their spillover effects."
Highlighting India's remarkable economic progress in recent years through the visionary leadership of Prime Minister Narendra Modi, and India's commitment to the mantra of Reform, Perform, and Transform, the Union Finance Minister said, "Our growth is primarily domestic-demand led, with a largely market-determined exchange rate. India continues to be among the world's fastest-growing major economies, with GDP growth projected to remain robust at around 7 per cent over the medium term."
Sitharaman emphasised the need to strengthen confidence in multilateral institutions and ensure that they remain responsive to the needs of developing countries. She called for better, bigger, more effective and more representative Multilateral Development Banks that can deliver significantly greater financing to developing countries and emerging economies, noting that enhancing their financing capacity, operational agility, and responsiveness will be critical.
The Union Finance Minister stated that the recent developments have highlighted the importance of resilient, diversified and geographically distributed supply chains, particularly for critical minerals, and focus on circularity, recycling and urban mining can address some of the sourcing challenges being collectively faced by the world.
India remains committed to working with all partners to build a more resilient, inclusive and prosperous global economy, and to advance shared solutions for shared growth, Sitharaman said while concluding her remarks.
— ANI
Reader Comments
Interesting how India consistently positions itself as a voice for developing nations. But let's be honest—7% growth is impressive, but can we really talk about "inclusive growth" when inequality here is still massive? Just saying what many are thinking.
This is exactly what India needs to do—lead the Global South. Macron hosting it shows Europe recognises India's importance. Loved her point about not all imbalances being alike. Common sense, but someone had to say it in a global forum. Proud moment. 🙏
While I appreciate the diplomatic language, I wish we had more concrete commitments rather than just speeches. The mention of "resilient supply chains" sounds great, but what about our own domestic manufacturing bottlenecks? We need to walk the talk, not just talk at summits.
The Global South finally has a strong voice. As someone working in trade policy, I can tell you this framing is crucial—we've been treated as rule-takers, not rule-makers. Her call for reformed multilateral development banks is spot on. IMF and World Bank need to change their old ways. 💯
As an economist, I find it interesting that India highlights domestic-demand-led growth while also pushing for global trade reforms. The balancing act is real. But we need more than just 7% projections—what about job creation? The youth need opportunities, not just GDP numbers.
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