G20 Ministers call for swift implementation of crypto assets roadmap in urgent push

Fourth Meeting of G20 Finance Ministers and Central Bank Governors

The G20 Finance Ministers and Central Bank Governors met on October 13, 2023, and unanimously called for swift and coordinated implementation of the G20 roadmap to deal with crypto assets. The roadmap, adopted in July 2023, lays out a series of policy measures that G20 countries can take to address the risks associated with crypto assets while also supporting innovation and promoting financial inclusion.

Global Policy Coordination for Crypto Assets

The G20 has been working on an action-oriented roadmap on crypto assets to coordinate global policy and create mitigating strategies and regulations for these emerging funds. The digital asset ecosystem is rapidly evolving worldwide, raising both opportunity and concern in varying measures. The roadmap is a significant step towards creating a structured regulatory framework, aiming to instill investments with credibility and security.

Emphasis on Implications for Emerging Markets and Developing Economies

The G20 roadmap also concentrates on the implications for Emerging Markets and Developing Economies (EMDEs), which are expected to bear the brunt of the crypto market’s volatility. This aligns with the G20 New Delhi Leaders Declaration (NDLD) and evidences significant consensus achieved at last month’s Leaders’ Summit. Finances and policy ministers from G20 countries have pledged to strengthen Multilateral Development Banks (MDBs) to address escalating global challenges of the 21st century.

Strengthening Multilateral Development Banks

The G20 finance ministers and central bank governors have pledged to strengthen Multilateral Development Banks (MDBs) through ambitious implementation of the recommendations of the G20 Independent Review of MDBs Capital Adequacy Frameworks (CAFs) within MDBs’ own governance frameworks, while safeguarding their long-term financial sustainability.

Relief for Debt-Laden Countries

Beyond the Common Framework, the G20 ministers have unanimously called for expedited efforts to resolve the debt situation of Sri Lanka as they took the opportunity to express their appreciation for the International Financial Architecture Working Group and initiatives for global debt agendas.

Focused Commitment to Financial Inclusion

The G20 Finance Ministers have affirmed their dedication to advancing the G20 Roadmap for Enhancing Cross-Border Payments. The unanimous decision was part of the newly launched G20 2023 Financial Inclusion Action Plan that aims to enhance global partnership for financial inclusion, persist in advancing financial inclusivity, and strengthen international economic cooperation. Brazil’s upcoming presidency as the new presiding country has also been warmly received. Countries globally are willingly committing to effective implementation of this revised standard that acts as a stepping-stone towards a safer financial environment.