The finance ministers and central bank governors of the Group of Seven (G7) assessed that the global economic situation is not as bad as expected. They also noted that the global supply chain, which was disrupted by the COVID-19 pandemic and the Russia-Ukraine war, is recovering.
On the 12th (local time), the G7 finance ministers and central bank governors announced the results of their meeting with heads of international economic organizations at the International Monetary Fund (IMF) and World Bank (WB) Spring Meetings held in Washington DC, USA.
At the meeting attended by leaders of the IMF, WB, Organisation for Economic Co-operation and Development (OECD), and Financial Stability Board (FSB), they diagnosed the recent global economic and financial situation as showing "stronger-than-expected resilience in global economic growth."
They stated, "Although inflation remains at a high level, central banks' commitment to price stability remains strong," adding, "At the same time, the recent financial sector situation underscores the uncertainties surrounding the global economic outlook and the need to maintain vigilance."
They continued, "We reaffirm that the financial system, supported by the swift response of relevant authorities and financial regulatory reforms introduced after the 2008 global financial crisis, is resilient," and "We remain closely monitoring the financial sector situation and are prepared to take appropriate actions necessary to maintain the stability and resilience of the global financial system."
They assessed that countries are increasingly approaching supply chains not only from an economic efficiency perspective but also from a resilience standpoint due to COVID-19 and the Ukraine war. In this context, they pledged to protect the values shared by G7 member countries and to preserve economic efficiency by maintaining a free, fair, rules-based multilateral system and international cooperation.
Concerns were also raised about debt relief efforts for the poorest countries facing severe debt crises. Regarding the worsening economic difficulties, including the risk of default faced by developing countries and the poorest countries participating in China's Belt and Road Initiative due to debt distress, they pledged to work on alleviating debt problems and support these countries to play a greater role in clean energy supply chains.
They reaffirmed unwavering support for Ukraine and expressed their determination to strongly implement sanctions and other economic measures against Russia. The meeting was also attended by Ukraine's finance minister, who is not a member of the G7.
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