Developing policies to lift global growth through the FWG
On 21 to 22 March, representatives of G20 Finance Ministries and Central Banks, as well as experts from International Organisations, attended the G20 Framework Working Group (FWG) Meeting in Ankara. The FWG meeting aimed to maintain momentum on developing policies to meet G20 Finance Ministers and Central Bank Governors ambition to lift global growth by more than two percentage points above the trajectory implied by current policies by 2018, as agreed at their meeting in February.
Prior to the FWG meeting, members submitted preliminary descriptions of policies that may be included in the Growth Strategies. The level of ambition of members’ inputs and the overall policy direction of the Strategies was discussed by the Group at the meeting, with technical input provided by the International Organisations. This review was a useful opportunity to provide constructive feedback for members early on in the process to help develop even stronger Growth Strategies. The review covered the submissions as a whole; policies to address the four structural reform themes under the Australian presidency (employment, investment, competition and trade); and progress on reducing global imbalances.
The meeting also assessed current global economic conditions and examined the implications of possible scenarios around the normalization of monetary policy in advanced economies, informed by modelling conducted by the IMF. This discussion was the first of its kind conducted at FWG and is a further step towards deepening understanding and enhancing macroeconomic coordination between members.
The FWG will report the main outcomes and conclusions from this meeting to Finance Ministers and Central Bank Governors at their upcoming 10-11 April meeting in Washington D.C., which will also include an interim assessment of progress towards implementing previous fiscal, monetary, and exchange rate commitments.
The FWG will now continue developing the comprehensive Growth Strategies leading up to their next meeting on 6-7 June in Goa, India.