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MIL OSI Translation. Government of the Republic of France statements from French to English –

Source: IMF in French

Chaired by Mr. Lesetja Kganyago, Governor of the Reserve Bank of South Africa

October 15, 2020

We extend our sincere condolences to the families of the victims of the COVID-19 pandemic and reaffirm our determination to mitigate the health and economic consequences of the pandemic for people around the world.

A timid recovery in the global economy is underway, driven by exceptional macroeconomic support measures. But this recovery is partial, uneven and characterized by considerable uncertainty, as the pandemic continues to spread in places. The crisis threatens to leave lasting consequences on the global economy, such as lower productivity growth, a heavier debt burden, worsening financial vulnerabilities, rising poverty and widening inequalities. . Other long-standing problems also persist.

To promote recovery, we will maintain our support measures, exceptional and flexible, adapting them to the different phases of the crisis and to the particularities of each country. We commit, individually and collectively, to use all the public policy instruments at our disposal to restore confidence, jobs and growth. We stand ready to help the most vulnerable countries and people. We stress the need for international cooperation to accelerate the research, development, production and distribution of means of screening, treatment and vaccines against COVID-19, with the aim of promoting equitable and affordable access for all, which is essential to overcome the pandemic and support the recovery of the global economy. As the crisis subsides, we will continue to pursue the objective of a solid recovery in growth by gradually shifting budgetary resources currently allocated to broad-spectrum support to more targeted support, and we will support structural transformations. by ensuring that the impact on jobs, vulnerable people and viable businesses is cushioned, while maintaining debt sustainability. Monetary policies must remain accommodative, in accordance with the mandate of central banks. We will continue to monitor and address financial vulnerabilities and risks to financial stability where necessary, including through macroprudential measures. We reaffirm our commitments on exchange rates.

We will pursue and push further our efforts to ensure strong, sustainable, balanced and inclusive growth, while making the most of the current economic, social, environmental, technological and demographic transformations, in line with our pre-crisis objectives. We will accelerate structural reforms aimed at boosting growth, jobs and productivity. Free, fair and mutually beneficial trade in goods and services as well as investment are essential engines of growth and job creation. We will encourage investments with high social and economic returns, and we will focus on harnessing the full potential of the digital economy while addressing related issues. We reaffirm our commitment to strengthen governance, in particular by fighting corruption. We will preserve the smooth functioning of the international monetary system and redouble our efforts to strengthen international arrangements and cooperation. We are committed to working together to help vulnerable countries meet their financing needs. We will also work together to continue to improve debt transparency and promote the application of sound financial practices by debtors and creditors, public and private. We will support countries’ initiatives to maintain debt sustainability or restore it when it is unsustainable, and we will work with all stakeholders to improve mechanisms for sovereign debt resolution.

We applaud the CEO’s global action plan.

We applaud the exceptional arrangements made by the IMF to help member countries overcome the crisis by providing them with advice, capacity building activities and rapid financial support. We are counting on the IMF to continue to provide good support to member countries, in close collaboration with its partners. To this end, we welcome the efforts of the IMF to make full use and, if necessary, further adapt its lending mechanisms to help member countries meet their financing needs amid the uncertainty created by the pandemic. We also want the IMF to continue to consider other tools that could meet the needs of its members as the crisis evolves, building on relevant lessons learned from previous crises. We support the IMF’s resumption of targeted bilateral surveillance. We welcome the IMF’s continuing focus on crisis-related issues and helping its member countries build a more resilient global economy, including by addressing long-standing issues and it is more and more urgent to settle. In this context, we support the IMF’s work in other areas of macroeconomic importance and consistent with its mandate, including macroeconomic implications and policies related to social spending, governance, climate change, fintech and finance. digital transformation. We appreciate the increased assistance provided by the IMF to help address the special challenges faced by small countries, fragile and conflict-affected countries, and countries hosting refugees.

It is essential to ensure that the IMF can reach out to the poorest and most vulnerable of its member countries, which lack sufficient access to markets. We welcome the six-month extension of debt service relief under the Disaster Assistance and Response Trust Fund (ARC Trust Fund), as well as the progress made in mobilizing additional lending resources for the Poverty Reduction and Growth Trust Fund (RPC Trust Fund). We support the IMF’s efforts to further increase the resources of the PRC and ARC trust funds, and we hope to see additional contributions in the form of grants, including from new participants. We support the extension of the Debt Service Suspension Initiative (ISSD). We regret the lack of progress in the participation of private creditors in the ISSD and we strongly encourage them to participate in a comparable way when countries eligible for this initiative so request. We call for the full participation of official bilateral creditors. We call on the IMF to continue to promote the concrete and transparent implementation of the ISSD, in collaboration with the World Bank. We welcome the G-20 agreement in principle on a “common framework for dealing with debt beyond the ISSD”, an agreement also agreed by the Paris Club. We look forward to the publication of this common framework by the November 2020 meeting of G – 20 finance ministers and central bank governors. We also welcome the IMF’s continued efforts to facilitate rapid and comprehensive debt resolution by supporting enhanced coordination among official creditors, identifying gaps in the international credit resolution architecture, and intervening with private creditors and other stakeholders, as well as reviewing its own sovereign debt policies. We call on the IMF to carry out an analysis of the external financing needs of developing countries and to assess viable financing possibilities.

We reaffirm our commitment to a strong IMF, based on a quota system and with adequate resources, at the center of the global financial security framework. We welcome the progress made in implementing the doubling of the new borrowing agreements and look forward to the opening on January 1, 2021 of a new round of bilateral borrowing agreements, and we urge all participants in the new borrowing agreements and bilateral borrowing agreements to ensure that their countries ratify their participation as soon as possible. We will continue to closely review IMF resource requests. We remain committed to reviewing quota adequacy and will continue the process of IMF governance reform under the 16th General Quota Review, based on a new calculation formula, by now. by December 15, 2023 at the latest.

Our next meeting is scheduled for April 10, 2021.

IMF Communications Department


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EDITOR’S NOTE: This article is a translation. Apologies should the grammar and / or sentence structure not be perfect.

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