Group of 20 finance leaders on Sunday said that trade and geopolitical tensions have “intensified”, raising risks to improving global growth, but they stopped short of calling for a resolution of a deepening U.S.-China trade conflict.
After fiery negotiations that nearly aborted the issuance of a communique, finance ministers and central bank governors meeting in southern Japan repeated tepid support for a rules-based multilateral trading system.
“Global growth appears to be stabilising and is generally projected to pick up moderately later this year and into 2020,”the G20 finance leaders said in a communique issued as the meetings in Fukuoka closed. “However, growth remains low and risks remain tilted to the downside. Most importantly, trade and geopolitical tensions have intensified. We will continue to address these risks and stand ready to take further action.”
It also said that G20 finance leaders had agreed to compile common rules by 2020 to close loopholes used by global tech giants such as Facebook and Google to reduce their corporate taxes.
The communique also contained pledges to increase debt transparency on the part of borrowers and creditors.
Another priority is sustainable infrastructure development, an issue brought into sharper focus by concerns that China’s massive Belt and Road infrastructure drive was saddling poor countries with debt they can’t repay.