G20 finance leaders, central bank governors meeting concludes under South African presidency

G20 Members have reaffirmed their commitment to work collaboratively within the OECD/G20 Inclusive Framework to achieve a balanced global minimum tax solution that addresses fairness, base erosion risks, and digital economy tax challenges while respecting national tax sovereignty.

The G20 Chair’s summary was released on 16 October 2025 following the fourth meeting of G20 Finance Ministers and Central Bank Governors, held under South Africa’s Presidency from 15-16 October 2025.

Members committed to continue engaging constructively to address concerns regarding Pillar 2 global minimum taxes, with the shared goal of finding a balanced and practical solution that is acceptable to all as soon as possible.

Delivery of a solution will need to include a commitment to ensure any substantial risks that may be identified with respect to the level playing field, including a discussion of the fair treatment of substance-based tax incentives, and risks of base erosion and profit shifting, are addressed and will facilitate further progress to stabilise the international tax system, including a constructive dialogue on the tax challenges arising from the digitalisation of the economy. These efforts will be advanced in close cooperation across the membership of the OECD/G20 Inclusive Framework (IF), preserving the tax sovereignty of all countries.

Recalling the G20 Rio de Janeiro Ministerial declaration on International Tax Cooperation, members continue to welcome the IF’s decision to adopt a phased, evidence-based approach to explore global mobility and understand the interaction between tax policy, inequality and growth.

Members note the ongoing negotiations to establish a United Nations Framework Convention on International Tax Cooperation, and the participating G20 members reaffirmed the objectives to reach a broad consensus and build on existing achievements, processes, and the ongoing work of other international organisations, while seeking to avoid unnecessary duplication of efforts.

Members welcomed five important reports from international organisations and one from the G20 Tax Side Event on Domestic Resource Mobilisation, held in Cape Town. The IF’s Report “A Decade of the BEPS Initiative: An Inclusive Framework Stocktake Report to G20 Finance Ministers and Central Bank Governors” takes stock of the progress and impact of the BEPS Project on what it set out to accomplish – bringing more coherence, substance, and transparency and certainty to the international tax system. It also demonstrates that working together is beneficial. Building on the gains and ensuring that developing countries can fully participate and benefit will require supporting inclusive participation and enhancing tax capacity tailored to need.

The OECD and Global Forum Report “Taking Stock of Progress on Transparency and Exchange of Information for Tax Purposes” illustrates how international tax cooperation led by the G20 can yield significant strides in enhancing the ability of tax authorities to share information and increase tax collections as a result. The OECD Report “Framework for the Automatic Exchange of Readily Available Information on Immovable Property: Report to G20 Finance Ministers and Central Bank Governors” sets out a common approach to strengthen international tax transparency on immovable property among interested jurisdictions on a voluntary basis. Following the South African Minister of Finance’s letter inviting jurisdictions to join this initiative, the South African G20 Presidency welcomes the interest shown by jurisdictions to date and encourages others to join.

Members agreed that Domestic Resource Mobilisation (DRM) is a shared imperative. The IMF’s “G20 Background Note on Enhancing Domestic Resource Mobilisation Through Strengthening Revenue Administration” underlines revenue administration as an essential pillar of the tax system. The Platform for Collaboration on Tax’s (PCT) Report “Progress in Strengthening Frameworks for Building Tax Capacity” demonstrates the importance of coordination and collaboration among capacity-building providers and recognises the value of a structured approach to reform – country-owned, country-led, fulfilling the social contract with taxpayers. The critical role regional organisations play is highlighted in both reports. The Moderator’s Report stemming from the widely supported Tax Side Event on DRM held in February 2025 encourages prioritising DRM as the most effective funding source; investing in modern, resilient revenue administrations; and deepening international cooperation. Members look forward to the PCT Tax and Development Conference, with a focus on DRM, to be held in Tokyo next year, and to receiving the OECD Report “Enhancing Simplicity to Foster Tax Certainty and Growth: Report to G20 Finance Ministers and Central Bank Governors”.