'Hope To Use This Trip To Deepen Friendshoring That US, India Have': Treasury Secy Janet Yellen

United States' Secretary of Treasury Janet Yellen said she looks forward to using her trip to deepen the 'significant relationship with respect to Friendshoring' that the US and India have.

United States' Secretary of Treasury, Janet Yellen during the second meeting of the G20 Finance and Central Bank Deputies under Indias G20 Presidency in Bengaluru.

Source : PTI

United States' Secretary of Treasury Janet Yellen on Sunday said thanked Finance Minister Nirmala Sitharaman for hosting the G20 ministerial meeting. She added that this week’s convening offers the two countries an opportunity to take stock of what they’ve done – and to redouble their efforts to strengthen the global economy, support emerging and developing economies, and tackle global challenges, as per an official release of US Department of the Treasury Office of Public Affairs 

Janet was addressing the media ahead of her meeting with finance ministers of G20 countries at Mahatma Mandir in Gujarat’s Gandhinagar. 

She said, "It’s great to be in India. This is my third time here in less than a year, which means I’ve traveled to India more times than any other country as Treasury Secretary. I’m very glad to be back." 

"Friendshoring is an important foundation of our approach to increasing the resilience of our supply chains, and we see India as an indispensable partner in that. And more broadly, I hope to use this trip to deepen what is already a very significant relationship with respect to Friendshoring that the United States and India have," she said.

#WATCH | Gujarat: US Treasury Secretary Janet Yellen, says, "Friendshoring is an important foundation of our approach to increasing the resilience of our supply chains, and we see India as an indispensable partner in that. And more broadly, I hope to use this trip to deepen what… pic.twitter.com/t8ZfiHqqaj

— ANI (@ANI) July 16, 2023

Strengthening US-China Relations 

Talking about her last week’s visit to China, Janet said, "During meetings with my counterparts, I emphasized the importance of both countries working together on the global challenges that face us. As the world’s two largest economies, we have an obligation to the people in our nations and the world to cooperate on areas of mutual concern." 

She added that the visit served as a step forward in putting their relationship on surer footing and establishing a resilient and productive channel of communication.  

Focus During G20 Discussion 

Jantel highlighted areas of interest that she would touch on during her discussion with the G20 finance ministers.  Emphasising on four priorities, she said they will focus on debt distress in emerging markets and developing countries, multilateral development bank evolution, support for Ukraine, and the global tax deal. 

  

Debt Distress 

The US Secretary of Treasury said that over the past few years, the world has seen debt vulnerabilities mount for many countries as a result of the pandemic and Russia’s illegal war against Ukraine.  

"Further, with debt service absorbing resources, less is available for essential public spending such as education or healthcare. Restoring debt sustainability can help unlock the massive economic potential of developing nations. It can help them regain lost growth and development and enable them to make investments to address challenges that we are trying to tackle together.   

 

MDB Evolution 

Secondly, she said she would continue to build momentum for collective initiative to evolve the multilateral development banks. "Ahead of last year’s Annual Meetings, I joined with other shareholders to call for an evolution of the MDB system to address global challenges with the speed and scale required," she added. 

She said she would first work with the World Bank and her counterparts to push for a framework and principles for the targeted use of concessional financing for global challenges.  

  

Support for Ukraine 

Janet highlighted another key priority of hers that is redoubling support for Ukraine as it continues to defend itself against ‘Russia’s illegal and unprovoked attack’.  

"My visit to Kyiv earlier this year still deeply moves me to this day. Seeing the bravery and resilience of the Ukrainian people up close impacted me personally. During the trip, I also saw the massive difference that foreign assistance is making to the lives of Ukrainian civilians and the Ukrainian military’s front lines," she said. 

 

Global Tax Deal 

Janet also spoke on the work they are doing to make the international tax system fairer and fit for purpose in the 21st century.  

"A little less than two years ago, we reached a historic agreement on a Two-Pillar solution to address the tax challenges of our digitalized and globalized economies. We remain committed to implementing that agreement. Today, many countries are moving forward to implement the global minimum tax on the earnings of large multinationals, which will end the race to the bottom on corporate tax rates," she said, as per the release. 

She said that this will enable her government and others to implement tax systems that ensure multinationals pay their fair share and compete on a level playing field with small businesses.