The International Monetary Fund and the World Bank Group’s Spring Meetings take hold in Washington D.C., from April 10 to April 16, 2023. The sessions, which included the IMF International Monetary and Financial Committee and the combined World Bank Group/IMF Development Committee, as well as other activities, were centered on global development, debt problems, economic recovery, and environmental challenges.

The first day of the second meeting of the G20 Finance Ministers and Central Bank Governors (FMCBG) on the global economy and international financial order was co-chaired by Sitharaman and RBI Governor Shaktikanta Das. Sitharaman emphasized the importance of prompt debt restructuring since actions to address global poverty are intertwined with efforts to resolve the global debt crisis. This has a far greater impact on nations with significant debt loads. Nirmala Sitharaman, the finance minister, was addressing an IMF gathering. Although the economic growth in India is predicted to be greater than 6% this year, she expressed concern about the geopolitical situation and the state of the global economy. According to Sitharaman, the World Bank should pursue its goal of eradicating poverty with tenacity. She argued that in order to achieve its goals of ending extreme poverty and fostering shared prosperity, the World Bank must do it in a way that is inclusive, robust, and long-lasting. The finance minister proposed making global public goods the third goal at the conference.

The IMF recently released its World Economic Outlook report, in which it issued a warning that further tightening of global economic conditions would have a significant impact on developing nations’ debt and public budgets. In 2023, the IMF predicts that the global growth rate would be approximately 2.8 percent, which is a decrease from its prior prediction. But if there is a tiny increase in the next year, this rate might reach 3%.

According to IMF predictions, the Indian economy would expand by 5.9% in FY2024. However, the Reserve Bank of India (RBI) anticipates that the nation’s GDP would expand at a rate of 6.5% in the current fiscal year. In its projection for the Asia Pacific area, the IMF said that India’s growth is anticipated to slow down since the country’s strong internal demand would not entirely offset its strong international demand for services.

The emerging market and developing economies of Asia will exhibit significant dynamism in 2023, according to the IMF. It will primarily draw strength from China’s reforms and India’s solid foundation. Almost half of the growth in the world economy will come from these two economies.