Rome, 1 November 2021(TDI): South Korean President Moon Jae-in addressed the G20 Summit. Italy is hosting the Summit in Rome. In the two-day Summit, issues like global economy and health, Covid-19, and Climate Change came under discussion.
Role of G20
During his address, the South Korean President appreciated the role played by G20 in the times of the Covid-19 Pandemic. The launch of the Access to Covid-19 Tools Accelerator or the ACT-A has tremendously helped in healthcare cooperation. Nevertheless, the pandemic has crippled the healthcare systems and economies of the world. Thus, the solidarity and cooperation between the G20 must enhance.
Global Disparity
President Moon Jae-in highlighted that there is a global disparity in the ratio of Covid-19 vaccination. He stressed that this needs to be remedied. Earlier while addressing the 16th East Asia Summit, he underscored the same point, to eradicate the virus.
COVAX Mechanism
He also reaffirmed Korea’s commitment to the COVAX mechanism. The world needs to come together to strengthen the international healthcare system. He said that albeit the inoculation started late in Korea, it still ranks amongst the countries with the fastest and highest inoculation rates.
Global Economic Recovery
On global economic recovery, he urged the global leaders to come together for collaboration. Assistance must be provided to low-income countries. Korea supports measures to ease the debt burden on such countries. It will also actively provide liquidity through IMF Special Drawing Rights. In that context, Korea has contributed US$1 billion in SDRs and will provide an additional US$450 million in SDRs.
Global Macroeconomic Policies
Moreover, the world needs to reinforce collaboration in global macroeconomic policies. For that, global prices must be controlled to prevent inflation whilst maintaining expansionary policies. Moon Jae-in emphasized that regular communication can minimize adverse ripple effects when the lead countries switch their monetary policies.
Reform of World Trade Organization
The reform of the World Trade Organization (WTO) will strengthen and reinstate free trade and stabilize global supply chains. A global trade system based on open and fair rules for sustainable growth; is the need of the hour.
Digital Economy
Aside from that, common standards should be established in response to the transition to a digital economy. Recently, the OECD members introduced a digital service tax. Follow-up measures are needed to ensure transparency in these new international tax norms.
Sustainable World
Lastly, President Moon said that the entire world is facing a crisis due to COVID-19. However, the world needs to unite to survive. He expressed his hope that G20 will assume responsibility to build an inclusive and sustainable world.
The South Korean President thanked the President of Italy as well as its people for organizing the G20 Summit to unify the world in the wake of Covid-19.
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