G20 greenlights multilateral development bank reforms, crypto rules
G20 finance ministers and central bank governors (FMCBG) agreed to «ambitious efforts» for substantially reforming and strengthening multilateral development banks (MDBs), including increasing their lending capacity.
They also adopted a road map for the regulation of crypto assets, marking significant progress on India's G20 agenda. "...The G20 finance track saw key achievements in several areas of India's presidency year," said finance minister Nirmala Sitharaman on Friday, briefing reporters on the outcome of the fourth and last G20 FMCBG meeting under India's presidency.
She listed progress on strengthening of MDBs, advancing financial inclusion and productivity gains through digital public infrastructure, crypto assets agenda, managing global debt vulnerabilities, and financing cities of tomorrow.
The communique adopted a road map on crypto assets based on the synthesis paper prepared by the International Monetary Fund and Financial Stability Board.
It called for swift and coordinated implementation of the proposals.
The FSB recommended regulations rather than an outright ban on crypto assets that would prevent digital currencies from undermining macroeconomic and financial stability. It also called for outreach beyond G20 jurisdictions, global coordination, cooperation and information sharing, as well as addressing data gaps.
Sitharaman said the information exchange under the crypto asset reporting framework will start by 2027.
The communique underscored the need for continued work on MDBs' capital adequacy framework (CAF) reforms and encouraged them to collaborate in areas such as hybrid capital, callable capital and guarantees.
They called on the International Financial Architecture Working Group to work
