Today I will depart for the G20 Finance Ministers’ and Central Bank Governors’ Meeting and IMF – World Bank 2023 Spring Meetings in Washington DC.
The meetings, to be held on 12‑16 April, come at a time of heightened uncertainty for the global economy.
There is no more important time to engage with international authorities and take the temperature of global conditions, as we carefully calibrate the settings of the May Budget.
Higher interest rates have exposed vulnerabilities in parts of the international banking system, adding to the challenges of persistent inflation, slowing global growth and the ongoing impacts of the war in Ukraine.
The International Monetary Fund has forecast the worst five years of growth in more than three decades, confirming in its latest report released overnight that economic headwinds are worsening.
Global conditions have become more complex and confronting than they were even a few months ago and Australia is not immune to these challenges.
I will meet with counterparts including US Secretary of the Treasury Janet Yellen, Canada’s Deputy Prime Minister and Minister for Finance Chrystia Freeland, New Zealand Finance Minister Grant Robertson, the United Kingdom’s Chancellor of the Exchequer Jeremy Hunt, Indonesia’s Finance Minister Sri Mulyani and Ukraine’s Minister of Finance, Sergii Marchenko.
The meetings provide an opportunity to discuss the uncertain global environment, share insights on our economic challenges and highlight steps Australia has taken to ensure our banking system is well‑placed in the face of financial market volatility.
While Australia’s financial system is resilient, recent tremors in financial markets have highlighted the need for more global engagement, not less.
The war in Ukraine continues, and Australia will keep working with like‑minded partners to impose costs on Russia and to support Ukraine.
I welcome the IMF’s US$15.6 billion loan program to support Ukraine – a strong reminder of what can be achieved with continued coordination.
Discussions at the meeting will also focus on efforts to support sustainable finance, which is critical to ensuring our economies grasp the opportunities presented by cleaner, cheaper and more reliable energy.
Throughout the week I will reaffirm Australia’s commitment to supporting our neighbouring Pacific Island countries on building climate resilience.
Australians should be optimistic about the future of our country but realistic about the challenges we face, and how the slowing global economy will affect our own global prospects.
These key meetings and our upcoming Budget will be all about providing security for our people in uncertain times for the world.
In this environment, our job is to strike the right balance between dealing with our immediate challenges, preparing for the future and safeguarding our economy against global risks.
That’s why our focus is on delivering a responsible Budget that provides targeted cost‑of‑living relief without adding to inflation, lays the foundations for future growth and builds our resilience to international shocks.
