Lok Sabha Question No. 168 (UNSTARRED), answered on 2019-11-18
Subject: Meetings of IMF and WBG
Ministry: FINANCE
Asked by: Pritam Gopinath Munde

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS

## LOK SABHA

## UNSTARRED QUESTION NO. 168

TO BE ANSWERED ON MONDAY, NOVEMBER 18, 2019/ KARTIKA 27, 1941 ( SAKA )

## Meetings of IMF and WBG

## 168. DR. PRITAM GOPINATHRAO MUNDE:

## Will the Minister of FINANCE be pleased to state :

(a) whether India has participated in the annual meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) held in the recent past and if so, the details thereof; (b)  whether  India  has  shown  its  concern  that  trade  wars  and  protectionism  have  generated uncertainties  that  will  ultimately  impact  flow  of  capital  goods  and  services  resulting slowdown in the economy; (c) if so, the details thereof along with the issues discussed and decision arrived therein; (d) the extent to which Indian economy and targets of US $ 5 trillion of economy of India by 2024 has been affected from such uncertainties and slowdown; and

- (e) the manner in which the target of US $ 5.5 trillion of economy by 2024 will be achieved?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI ANURAG SINGH THAKUR)

(a)  to  (e):  The  Indian  delegation  led  by  the  Union  Finance  Minister  attended  the  Annual Meetings of the IMF and the WBG held in October 2019, which comprised the meetings of the International Monetary and Financial Committee (IMFC), the apex-level committee of the Board of Governors (BoGs) of IMF, and the meetings of the Development Committee (DC), the apex-level joint ministerial committee of the BoGs of WBG and the IMF. In the context of  global  economic  outlook  discussed  at  these  meetings,  the  issue  of  trade  wars  and protectionism generating uncertainties that will ultimately impact flow of capital, goods and services  was  raised  by  India.  The  IMFC,  through  its  Communique,  called  upon  member countries  to  employ  all  appropriate  policy  tools,  individually  and  collectively,  to  mitigate risks including trade tensions, to enhance resilience, and to shore up growth to benefit all. In the  context  of  downside  risks  including  trade  tensions  persisting,  the  DC  through  its Communique  called  upon  the  WBG  and  the  IMF  to  continue  cooperating  and  work  with countries to bolster potential growth, increase resilience to shocks, boost domestic revenues and  continue  building  policy  buffers.  The  Government  is  cognizant  of  the  recent  global developments including trade tension between countries and see the protectionist moves as an opportunity for India to increase its share in the world trade through sustained growth. The on-going  structural  reforms,  tax  reforms,  banking  and  NBFC  sector  reforms,  measures  to enhance investment, measures to boost exports, measures to increase productivity, measures to promote agriculture and MSME sectors, enhanced infrastructure financing, and such other reforms  as  may  be  needed  from  time  to  time,  will  help  achieve  the  target  of  $  5  trillion economy  by  2024-25.  The  Government  has  been  proactively  interacting  with  various stakeholders and taking necessary steps to achieve the goal. The Cabinet Secretariat monitors a Committee of Secretaries constituted under it to formulate sector specific strategies.

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