Tiêu đề 9. Draft Joint Statement by G24 and V20 on the Resilience Sustainability Trust (April 2024) 03.06.2024.docx ✅

Statement on the Resilience and Sustainability Trust by the G24 and V20 Publish date: April 2 2024 Underscoring the important role that Special Drawing Rights (SDRs) play in providing global liquidity especially to the most vulnerable of our members, and welcoming the historic allocation of SDRs in 2021 as a response to the global pandemic Welcoming efforts by the Group of 20 (G20) members to voluntarily re-channel part of their SDRS to help create more fiscal space for our members, while noting the uneven distribution of SDR allocations Noting the elevated cost of borrowing which is directly impacting our members’ ability to make transformational investments to achieve our development and climate goals Concerned about the rising risk of debt distress across our members, and the central role that affordable and concessional finance needs to play in supporting the shift towards climate- positive development 1. We welcome progress made by the International Monetary Fund (IMF) in establishing and operationalizing the Resilience and Sustainability Trust (RST) and the early implementation of Resilience and Sustainability Facility (RSF) programs supported by the Trust. 2. We welcome the IMF Board’s interim review of the RST and emphasize: a. The importance of affordable, long-term financing. An SDR rate cap remains vital to ensuring that RSF financing remains affordable. We urge a recalibration of the cost of borrowing, with the SDR rate capped at the April 2022 level. b. The need for access to the RST without an ongoing IMF program. We urge the IMF to remove the requirement of a concurrent IMF program to access the RSF. The RSF should be accessible to members determined to mitigate prospective balance of payment shocks by investing in climate action 1 . The IMF should enable 1 From the V20 perspective, the global financial system needs to move away from conventional austerity- based measures towards resource mobilization-driven approaches to provide fiscal space and macro- sustainable debt options for climate vulnerable countries.