Stresa May 25, 2024 - The meeting of G7 Finance Ministers and Central Bank Governors in Stresa closed today, after which the final Communiqué was issued.
Key points from the Communiqué
Over eleven working sessions in two days, the G7 took on an ambitious programme at the G7 Finance meeting at Stresa. The agenda included: economic fragmentation, artificial intelligence, support for Ukraine, international taxation, initiatives for Africa, and the green agenda.
- Global outlook and developments; financial sector issues
The G7 reiterated its commitment to free, fair, and rules-based multilateral system and to enhance the resilience of G7 economies. The G7 will work to better assess the macroeconomic impact of industrial policy measures, economic fragmentation, market concentration risks and overcapacity, also advancing a G7 dialogue between relevant ministries.
The G7 discussed enhancing the resilience of non-bank financial intermediation (NBFI) and welcomed successful cross-border coordination in the context of increasing risks from cyber-attacks and possible implications for financial stability. - Artificial Intelligence
Artificial Intelligence (AI) is a cross-cutting theme. The G7 Finance shared experiences in the economy and the financial sector on how to leverage the AI potential while mitigating potential adverse effects, including divergence across advanced and developing countries. The G7 will continue working on the basis of a shared policy agenda on AI that includes: macroeconomic impact and scenarios, measurement challenges, impact on fiscal policy and on financial stability, implications on the required skills of the labour force, and environmental sustainability. - Support for Ukraine
The G7 reaffirmed its unwavering support for Ukraine for as long as it takes, remains committed to enforcing sanctions to reduce Russia’s capacity to wage war against Ukraine, making progress in our discussions on potential avenues to bring forward the extraordinary profits stemming from immobilized Russian sovereign assets to the benefit of Ukraine, consistent with international law and our respective legal systems, with a view to presenting options to provide additional financial support to Ukraine to our Leaders ahead of the Apulia Summit in June. - International Tax Cooperation
The implementation of the Two-Pillar Solution is top priority, and the G7 confirmed its commitment to finalising the work within the OECD/G20 Inclusive Framework with a view to signing the Multilateral Convention on Pillar One by the end of June 2024. - Support to vulnerable countries
The G7 reaffirmed support to the ongoing MDBs reform (Multilateral Development Banks), reiterated the importance of CAF review (Capital Adequacy Frameworks) and of successful replenishments of concessional funds (as IDA, International Development Association) - including through expanding the donors’ basis - and discussed MDBs governance related issues. Reducing the risk of debt distress was discussed looking at options to reinforce the resilience of low-income and vulnerable countries by applying a country-owned multidimensional approach, in connection with IMF/MDB support packages, and based on three pillars (domestic resource mobilization, existing financing tools, additional financing flows and creditor coordination). - Initiatives for Development with a focus on Africa
The G7 welcomed the Presidency’s initiatives with a specific focus on Africa regarding: (i) pharmaceutical manufacturing capacity through Gavi’s African Vaccine Manufacturing Accelerator (AVMA); (ii) diversification of supply and green energy transitions in developing countries via progress on the RISE partnership; (iii) the Alliance for Green Infrastructure in Africa (AGIA) of the African Development Bank for transformative green infrastructure projects on the continent. - Green Agenda
The G7 reiterated commitment to the green transition and welcomed a Menu of Policy Options for a Just Transition Towards Net-Zero. Recognising the need to address the widening insurance protection gap against climate-related events, the G7 also welcomed a High-Level Framework for Public-Private Insurance Programmes against Natural Hazards.
The closing press conference
At the end of the three-day event in Stresa, the official press conference of the Italian G7 Presidency was held with the Minister of Economy and Finance, Giancarlo Giorgetti, and the Governor of the Bank of Italy, Fabio Panetta.
Video
Documents
- Communiqué
- Annex I (Full Document – Finance Track Menu of policy options for a just transition towards net zero)
- Annex I (Summary – Finance Track Menu of policy options for a just transition towards net zero)
- Annex II (Full Document – High-Level Framework for PPIPs against Natural Hazards)
- Annex II (Summary – High-Level Framework for PPIPs against Natural Hazards)
- Annex III (OECD-G7 2024 Progress Report Tax Cooperation)
- Annex IV (Update note on the Rise Partnership G7 FMCBG)
- Annex V (Note AGIA G7 FMCBG Meeting)
- Annex VI (AVMA for G7 Background Note_G7 FMCBG Meeting)