Hong Nam-ki "G20, Need to Build a Robust Global Financial Safety Net"

G20·Paris Forum Finance Ministers Conference Keynote Speech

[Asia Economy Reporter Jang Sehee] Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, said on the 9th, "It is necessary to establish a more detailed and robust global financial safety net to prepare for new crises that may arise after the novel coronavirus disease (COVID-19)."

In a keynote speech at the G20 and Paris Forum Finance Ministers Conference held via video conference the day before, Deputy Prime Minister Hong stated, "The G20 and the International Monetary Fund (IMF) will closely analyze the effectiveness and shortcomings of the current safety net and develop more advanced safety measures."

Deputy Prime Minister Hong pointed out that individual countries must also have preventive measures to mitigate the volatility of capital flows.

He introduced Korea's three macroprudential tools: the forward foreign exchange position system, foreign exchange soundness surcharge, and foreign currency liquidity coverage ratio regulation, saying, "It is necessary to design preventive measures in detail according to a customized approach that fully considers each country's capital market conditions and policy environment."

Finally, Deputy Prime Minister Hong emphasized the need to further strengthen international solidarity and cooperation. He urged accelerating preparations for the post-COVID era, including addressing inequality issues caused by COVID-19 and responding to economic and social structural changes such as non-face-to-face and digitalization.

Meanwhile, this conference was co-hosted by Saudi Arabia, the G20 presidency country, and France, the Paris Club presidency country.

This content was produced with the assistance of AI translation services.