The Secretary-General of the United Nations, Antonio Guterres, on Friday urged the members of the Group of Twenty, meeting in Venice, Italy, to “solidarity” with developing countries facing the economic crisis caused by the pandemic.
In a letter to G20 representatives, Guterres declared that he was “encouraged by the swift action taken by the International Monetary Fund and its members to allow the withdrawal of $650 billion in Special Drawing Rights.”
He noted that “solidarity requires rich countries to transfer their unused share of these funds to developing countries, including vulnerable middle-income countries and small developing islands.” “Many developed countries seem to be emerging from this pandemic, But developing countries are struggling to survive and even more to get out of it. While 70% of the population is vaccinated in some developed countries, the number is less than 1% in low-income countries.”
According to the head of the United Nations, “In advanced economies, tax packages have reached nearly 28% of gross domestic product (GDP); in middle-income countries, this figure drops to 6.5%, and in less developed countries , to 1.8%”.
COVID-19. Guterres regrets the lack of global anti-virus solidarity
“I hope that the G20 will expand the debt service suspension initiative and the common framework for debt treatment to middle-income countries and small island developing states as the basis for a redesigned and more equitable international debt architecture,” he said.
He defended this, saying, “Developed countries must show solidarity that goes beyond mere words, through concrete actions,” adding that “the next six months will be essential.” “I urge you to work together to build a strong post-pandemic relaunch, Strengthening the global economy and preventing catastrophic climate change,” concluded Antonio Guterres.
Founded in 1999, after the successive financial crises of the 1990s, the G20 is a group comprising the finance ministers and central bank chiefs of the world’s 19 largest economies as well as the European Union, which aims to analyze and promote debate among wealthier and emerging countries on policy issues related to promoting stability International Finance.
They include South Africa, Argentina, Brazil, Canada, the United States, Mexico, China, Japan, South Korea, India, Indonesia, Saudi Arabia, Turkey, Germany, France, Italy, Russia, the United Kingdom, and Australia.