India need not transfer $10 bn into IMF right away
- India may not be required to infuse $10 billion (Rs 55,000 crore) it promised at the G20 to the International Monetary Fund (IMF) for bailing out debt-trapped Euro zone if the global economic situation gets better
- The amount to be transferred will be completely liquid and will remain part of our reserves as the IMF guarantees contributors that it will be obtainable if the need arises
- As per the officials the circumstances have not arrived a point where the amount promised by India would have to be injected into the IMF
- The G20 countries reacted to the need to augment the resources of the IMF to facilitate it to play its part in the current situation.
- Out of $75 billion pledged by the BRICS group, India committed $10 billion
- Total commitments that have been made so far amount to almost $460 billion
As per PM Manmohan Singh :
- There was consensus among all countries to shift policies to strengthen growth and reduce uncertainty over Euro zone
- The summit restated to resist protectionist measures and extended it to 2014
- Los Cabos Declaration reflected India’s views that investment on infrastructure in developing countries could play a major role in strengthening development and in invigorating global recovery. For this to happen Multilateral Development Banks should be strengthened
- Significant Issues including progress in regulatory reform, food security, agricultural productivity, anti-corruption measures and green growth were also talked over
Month: Current Affairs - June, 2012