India's G20 presidency indispensable to global economy recovery: US official

Ahead of India's G20 Presidency which is set to begin on December 1, US Treasury
Secretary, Janet Yellen on Friday said that New Delhi is a "natural ally" and stressed
that India's G20 year is a chance to accelerate global coordination on debt restructuring.

Highlighting the growth in US-India economic ties, she said, "The US and India are
'natural allies,' in the words of a former Indian prime minister. We may be located
across the world from each other, but what unites us is far greater than any of our
differences. Our fights for independence were born of the same desire for freedom
and dignity."

Talking about India's G20 Presidency, she said, "In three weeks, India will assume the
helm of the G20 at an uncertain time for the global economy. We look forward to
supporting India's G20 presidency. A successful Indian presidency is indispensable to our global economic recovery and sustained progress on our deepest problems.

The G20 must do better to provide debt relief where necessary. India's G20 year is a
chance to accelerate global coordination on debt restructuring," said Yellen.

She also emphasized Common Framework for debt restructuring has not delivered its promise because of a lack of cooperation from China at G20.

"Two years ago, the G20 established the Common Framework to bring all the major
bilateral creditors together to coordinate timely and orderly debt relief for low-income countries.

But the Common Framework has not delivered on its promise, largely because of a lack of cooperation from China. As a consequence, debtor countries in need are hesitant to request Common Framework treatment. This needs to change. All major bilateral creditors, including China, must cooperate constructively to deliver on their G20 commitment to provide meaningful debt relief. We must also improve the speed and predictability of the Common Framework itself", she added.

Secretary Yellen is on her India visit and will then travel to Bali, Indonesia to represent the United States at the G20 Joint Finance and Health Ministers' Meeting on November 12 and accompany President Joe Biden at the G20 Leaders' Summit on November 15 and 16.

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