On 12 October 2018 a communiqué was released following a meeting of the IMF’s International Monetary and Financial Committee (IMFC) in Indonesia.
The communiqué notes that global expansion remains strong and is projected to be steady in the near term. It also notes however that the recovery is uneven and that downside risks include increased trade tensions and geopolitical concerns. Tighter financial conditions are affecting emerging markets and developing economies.
The members of the IMFC will therefore cooperate to address the challenges resulting from demographic changes and will increase inclusion by sharing gains from technological progress and global economic integration. The members will cooperate to reduce the global imbalances and support sustainable economic growth.
The IMFC notes the need to mitigate risks and enhance confidence in international trade, including on ways to improve the World Trade Organization (WTO) to face future challenges. The communiqué states that free and fair goods and services trade and investment are key engines for growth and job creation and stresses the importance of implementing the conclusions of the G20 Hamburg Summit on trade. The communiqué also supports efforts to achieve the 2030 Sustainable Development Goals.
The IMFC is working towards a fair and modern international tax system, addressing competition and tax challenges including the consequences of digitalization. Collaboration will be strengthened in relation to using financial technology to increase efficiency. The sources and channels of money laundering and terrorism financing will be tackled along with other forms of illicit finance.
The IMFC communiqué calls on the IMF to give support to attempts to enhance confidence in trade, for example through its trade-related macroeconomic analyses. The IMFC supports the IMF’s involvement in international tax issues and in domestic resource mobilization, including it work with the UN, OECD and World Bank as part of the Platform for Collaboration on Tax.