India has strongly put challenges of Global South on the table, says Mathias Cormann

economictimes.indiatimes.com:

India is making some very strong inroads in the development agenda, says Mathias Cormann, secretary-general at the Organisation for Economic Co-operation and Development. He terms the global tax deal as the biggest reform in more than 100 years that is seeking to cater to changes in business models and the structure of the global economy. Edited excerpts from an interview with Deepshikha Sikarwar.The OECD in its latest economic outlook has said improvement in global growth is very fragile. What are the key risks that you see for the recovery? First, the good news is that we project continued global growth.

Growth is low by historical standards, but nevertheless, we do believe that we are firmly in the territory of continued global growth. But there are downside risks. There is the continued high level of inflation and there certainly is a risk that inflation will remain higher for longer and that more monetary policy tightening might be required with all of the consequences for the global economy.

Then there is a big downside risk related to the war in Ukraine and also geopolitical tensions, more generally, fragmentation of the global economy, and so on, which is all putting pressure on the global economic outlook.What kind of policy interventions are you advocating to countries to get out of the situation? I think we need the world to recommit itself to a rules-based international trading system in better working order. We need well-functioning global markets. We need to recommit ourselves to structural reforms that facilitate productivity and increased business dynamism.