Finance ministers from the G20 nations have pledged to take action to address global imbalances that threaten economic stability. The commitment was made during a meeting held this week, where ministers discussed a range of issues including sovereign debt, financial regulation, and sustainable growth.

Key Discussion Points

• Global Imbalances: Ministers acknowledged the need for coordinated policies to reduce excessive current account imbalances and promote balanced growth across member countries.
• Sovereign Debt: The group discussed strategies for managing sovereign debt levels and ensuring fiscal sustainability, particularly in light of the ongoing economic challenges.
• Financial Regulation: Continued efforts to strengthen financial regulation and supervision were emphasized, with a focus on implementing Basel III standards and addressing systemic risks.
• Sustainable Growth: The ministers reaffirmed their commitment to promoting strong, sustainable, and inclusive growth, including through investments in infrastructure and human capital.

Specific Measures

While specific policy measures were not detailed in the official communique, ministers indicated a willingness to consider a range of options, including:

• Structural reforms to boost productivity and competitiveness.
• Fiscal policies to support demand and reduce debt.
• Monetary policies to maintain price stability and support economic activity.

The G20 finance ministers agreed to continue their dialogue and cooperation in the coming months, with a view to developing concrete policy recommendations for the next G20 summit.