FSB writes to G20 Finance Ministers and Central Bank Governors

FSB has written to the G20 Finance Ministers and Central Bank Governors highlighting that lower growth, rising inflation and tighter global financial conditions may crystallise pre-existing vulnerabilities in the global financial system or give rise to new ones.

FSB stressed that as the exit from COVID-19 was well underway, it is important to rebuild macroprudential policy space whenever national conditions allow. FSB is analysing financial issues in commodity markets and closely monitoring the possible spillovers from commodities markets into the broader global financial system, as part of its ongoing surveillance.

FSB confirmed that its focus is addressing scarring and exit strategies from COVID-19, and progress under the FSB’s climate roadmap.

Harshil Patel