FIF is organized by the World Bank to ensure the adequacy and sustainability of financing for future pandemic prevention and response.
Jakarta (ANTARA) - The Ministry of Finance (Kemenkeu) reports that Indonesia's G20 Presidency this year has made history through the collection of the Financial Intermediary Fund (FIF) of US$1.4 billion.
In an official statement received in Jakarta, Saturday, the Ministry of Finance said that FIF was organized by the World Bank to ensure the adequacy and sustainability of financing for the prevention and response to future pandemics.
G20 members encourage additional voluntary FIF commitments. The G20 also welcomes the membership and inclusive representatives of Pandemic Prevention, Preparedness, and Response(PPR) FIF from low- and middle-income countries, civil society organizations, and donor agencies, where the World Health Organization (WHO) plays a central role.
During the pandemic, financial institutions have implemented various extraordinary policies to increase their function as intermediaries in supporting the economy.
At a time when policy support is needed to mitigate the negative impact of the pandemic, the application of policy support for too long can pose a risk to financial stability.
Then while the pandemic recovery is underway, the G20 awaits the final report on exit strategies aka exit strategiesand mitigating the effects of bruising or the scarring effect on the financial sector, as well as efforts to address vulnerabilities in Non-Bank Financial Institutions (NBFI).
The Ministry of Finance also reports that the G20 is committed to continuing to strengthen the global financial sector through increased risk monitoring and through optimizing the benefits of technology and digitization.
In this context, the G20 welcomed the FSB's assessment of the supervision and regulation of global stablecoins , as well as crypto asset market activity and accepted final guidance by the Committee on Payments and Market Infrastructures (CPMI) of the Bank for International Settlements (BIS) and The International Organization of Securities Commissions ( IOSCO).
The two institutions emphasized that the principles for financial market infrastructure apply to the importance of systematic stablecoin regulation .
In addition, the G20 is also committed to continuing to explore the macro-financial implications of central bank digital currencies (CBDCs), as this can be designed to facilitate cross-border payments while maintaining monetary system stability and international finance.
On the other hand, to support a strong and sustainable world economic recovery process, the G20 countries have discussed sustainable, inclusive, accessible and affordable infrastructure development.
Members voluntarily and independently support the G20/Global Infrastructure (GI) Hub Framework on how best to reach private sector participation to promote sustainable infrastructure investment, which will take into account the country's situation, and will add investment from other sources, including public and private investment. finance provided by the Multilateral Development Banks (MDBs).
In addition, G20 countries also support G20 infrastructure, support G20-OECD policy tools in mobilizing funding and finance, support InfraTracker 2.0 and G20 Case Study Summary in Digital Financial Infrastructure, and encourage the quality of infrastructure investment by discussing the development of Quality Infrastructure Investment (QII) Indicators .and discuss structuring the future of global infrastructure,
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