Sitharaman meets IMF Managing Director Kristalina Georgieva in Washington
New Delhi, April 19, 2022
Union Finance Minister Nirmala Sitharaman had a bilateral meeting with Kristalina Georgieva, Managing Director of the International Monetary Fund (IMF) in Washington DC today.
Held on the sidelines of the International Monetary Fund-World Bank (IMF-WB) Spring Meetings, Anantha V. Nageswaran, Chief Economic Advisor, Ministry of Finance, and Gita Gopinath, FDMD of IMF were also present at the discussions.
The deliberations covered several issues of importance for India besides those faced by the global and the regional economies.
Ms Georgieva highlighted the resilience of India which remains the fastest-growing country across the globe despite challenges posed by the COVID-19 pandemic. She also referred to an effective policy mix followed by India that was well targeted. She lauded India for its contribution to the capacity development activities of the IMF.
She praised India’s vaccination programme and the help extended to its neighbour and other vulnerable economies, especially that provided to Sri Lanka during their economic crisis. Sitharaman indicated that the IMF should support and urgently provide financial assistance to the island nation. The Managing Director assured the Finance Minister that the IMF would continue to actively engage with Sri Lanka.
Discussing the recent geopolitical developments, Sitharaman and Georgieva raised concerns about its impact on the global economy and the challenges linked to the rising energy prices.
Explaining India’s policy approach, she mentioned that an accommodative fiscal stance was also accompanied by major structural reforms, including the bankruptcy code and targeted help to MSME and other vulnerable sections.
Sitharaman said that the Monetary Authority fully supported and complemented these efforts with an accommodative stance.
The Minister stated that India has been helped by good agricultural output, supported by a good monsoon during the COVID pandemic period. Agricultural exports, along with other exports, have also sharply increased. India is entering into new economic activities which will help resolve some of the global supply chain issues, she added.