G20 Delhi Declaration: What Are MDBs? Why Is Consensus On Them A Big Deal?
NDTV
MDBs like the World Bank are critical in the battle on climate change, as they are often the only viable ways of poorer nations funding the required infrastructure and clean energy projects.
Contained within the New Delhi G20 Leaders' Declaration announced on Saturday evening is a commitment by global leaders to "pursue reforms for better, bigger and more effective MDBs". In the declaration, G20 leaders acknowledged the need for an international development finance system "that is fit for the purpose"; i.e., one capable of helping developing countries, "in particular the poorest and most vulnerable", surmount economic challenges, including those posed by climate change.
Of significance in the paragraph on "Reforming International Financial Institutions" is the G20's realisation of the need for a "quantum jump from billions to trillions of dollars for development".
"The international finance system must deliver significantly more financing to help developing nations and EMEs (emerging market economies) fight poverty, tackle global challenges and maximise development impact," the G20 said, noting that stronger MDBs "will be important" to these efforts.