Global bodies must shield Global South from West Asia shock, says PM Modi at G7

GLobal financial institutions must make back up mechanisms to facilitate countries in the world(a) s absorb shocks such as the impact of the West Asia conflict on fuel, fertiliser and food supply chains, Prime Minister Narendra Modi said at an outreach session of the G7 Summit in France on Wednesday.Modi, who was speaking at the session on “Reviving balanced, shared and sustainable economic growth for all, called for combining the G7’s capital, India’s talent and the countries of the Global South for connectivity projects in Africa, Latin America and the Pacific Islands that focus on trade, technology and energy.India, Brazil, Egypt, Kenya and South Korea are the partner countries invited to the summit’s outreach sessions held in the French resort of Evian. Modi said on social media that his speech focused on shared development based on India’s experiences. “The reality today is when it comes to growth, the question should not be about GDP or trade numbers. The real question is – growth for whom, with whom and in what direction?” he said.“The impact of the West Asian crisis on fuel, fertiliser and food supply chains will have long-lasting consequences for the Global South,” he said during his speech, emphasising that the most vulnerable countries should not bear the burden of crises on their own.“Our international financial institutions must create support mechanisms that help developing countries absorb these shocks and maintain their economic resilience,” he said.Referring to the India-Middle East-Europe Economic Corridor (IMEC), Modi proposed new connectivity projects in Africa, Latin America and the Pacific Islands. “Combining the capital of the G7, India’s talent and the ownership of countries in the Global South, we could consider creating the International Mobilisation Partnership for Accelerating Connectivity and Trade (IMPACT),” he said.“Today, there is a need to further accelerate initiatives that have local ownership, transparent financing and a clear vision of long-term sustainability,” he added.Modi further proposed the creation of a Global Skills Partnership that will allow developed countries with ageing societies to benefit from India and other countries in the Global South with potential for young talent, enterprise and skills. “Under this, we can work together to increase skill mapping and trusted skilled mobility,” he said.India’s belief in shared global prosperity is reflected in the country’s actions, including the conclusion of trade agreements with many countries. “This demonstrates that India believes in integration, not fragmentation; partnership, not protectionism; and shared prosperity, not uncertainty, Modi said. “India will continue to work with all of you to strengthen shared economic resilience and build a more stable, reliable and prosperous global economy.”