A draft statement released on Tuesday indicates that finance ministers from the G20 countries are expected to express their welcome towards the increasing likelihood of a smooth economic landing for the global economy as inflation continues to decline from high levels. The statement reads: "We are encouraged by the increasing prospects for a smooth global economic landing despite multiple challenges."
On another note, the draft statement highlights negative risks, including escalating conflicts, economic fragmentation, and persistent inflation that keeps interest rates elevated for an extended period. The document also suggests that finance ministers and central bank heads, who are meeting this week in Rio de Janeiro, will reference "escalating wars and conflicts" as unspecified negative risks to the global economy.
