G7 finance leaders, central banks, state continued financial stability as among future goals

A determination to maintain financial stability was one of the goals cited by the group of finance ministers of seven democracies and central bank governors meeting Wednesday in Washington.

According to the statement issued by the G7 finance ministers (including Treasury Secretary Janet Yellen) and central bankers (including Federal Reserve Board Chair Jerome H. (“Jay”) Powell), recent developments in the financial sector, including failures of U.S. and Swiss banks, “highlight the uncertainty about the global economic outlook and the need to stay vigilant.”

“We reaffirm that the financial system is resilient, supported by relevant authorities’ prompt responses as well as the financial regulatory reforms implemented after the 2008 global financial crisis,” the groups stated. “We will continue to closely monitor financial sector developments and stand ready to take appropriate actions to maintain the stability and resilience of the global financial system.”

The statement also touched on efforts to fight inflation, continuing support for Ukraine in fending off the Russian invasion (including monetary support for Ukraine and economic sanctions against Russia), the need to reinforce global supply chains, and support for “low- and middle-income countries to play bigger roles in supply chains and enhance their value addition.”

Also participating in the meeting were heads of the International Monetary Fund (IMF), World Bank Group, Organisation for Economic Cooperation and Development, and Financial Stability Board.

G7 Finance Ministers and Central Bank Governors’ Statement