View: G20 summit charts a path from past to future amid new challenges and opportunities
These shocks could have been far worse without the critical role digital public infrastructure (DPI) played during the pandemic to provide emergency fiscal transfers to hundreds of millions, support and coordinate vaccine deployment across large populations, and offer digital platforms for education and commerce to blunt the worst ravages of the lockdowns. In doing so, it supported job creation and private sector innovation.
The latest IMF and World Bank forecasts project that the 'global south' will contribute nearly 70% of global growth in the next few decades.
Yet, the present international financial architecture is ill-equipped to serve it well. While our markets are flush with liquidity, the global south is unable to attract capital at sustainable terms.
When countries are in crisis, the current architecture fails to meet the liquidity needs of many countries of the 'global south' like India and Indonesia, which have no access to dollar swap lines.
Protracted disagreements among creditors on resolving debt issues have left many debtors in a financial freefall. A strengthened and reformed IMF must lie at the centre of this effort.
The persistent financing gap the 'global south' faces is the binding constraint in achieving high global growth and collective SDG and climate goals.
It was clear from the beginning of the New Delhi G20 Summit that a reset was needed, combining an ambition of action and a sense of urgency. The New Delhi Leaders' Declaration (NDLD) recognises that independence, resilience and interdependence must coexist in the new multipolar landscape to boost growth.
An effective, balanced, rules-based multilateralism can deliver accelerated, inclusive and resilient growth. In its absence, multipolarity
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