B20 has given policy recommendations to the G20 (Representational)
New Delhi:
India’s G20 Presidency and B20 Recommendations
India’s G20 Presidency comes at a crucial period, marked by a number of historic economic transitions against a backdrop of geopolitical uncertainty. The Business 20 (B20) group of the G20 is instrumental in facilitating engagement between the international business community, G20 decision-makers, and governments.
The B20 has made 54 recommendations and 172 policy actions to the G20.
Notable Recommendations
Some of the notable recommendations include:
- Steps to accelerate services trade and enhance technology in trade – the first time this has been explored by the B20
- Roll out digital public infrastructure to boost financial inclusion and healthcare access
- Build digital trust by harmonising cybersecurity standards and data privacy regulations
- Promote cross-border R&D and technology transfer of best practices through a virtual digital lab and library
An important recommendation is to provide financing for global economic recovery. The International Monetary Fund (IMF) World Economic Outlook projects a declining trend in economic growth from 5.9 per cent (2021) to 3.4 per cent (2022), and 2.8 per cent (2023).
The B20 report highlights that the outlook is clouded by multi-decade high inflation, monetary policy tightening, unprecedented debt levels, and heightened geopolitical tensions.
B20’s Key Recommendations
The B20 task force has made four key recommendations:
- Establish a Global Sustainable Development Goals (SDG) Acceleration Fund for financing of Global Public Goods
- Capacity building of domestic financial sectors for SDGs financing
- Improve MSME access to finance and reduce cost of capital to foster inclusive growth
- Finance sustainable and resilient infrastructure with enhanced focus on healthcare, energy, and digital infrastructure
The proposed Global SDG Acceleration Fund (GSAF) aims to mobilise resources and accelerate progress towards achieving the United Nations’ SDGs. It would be a pure credit enhancement fund, housed at an existing multilateral development bank, leveraging existing capacities and delivering projects deploying more than $1.25 trillion across developed and developing countries.
Each member country would have the discretion to adopt voluntary or mandatory contribution of 0.2 per cent of profits of larger enterprises for three years.
