Iran appointed vice chair of IMF’s G-24

Financial Tribune – The CBI vice governor for economic affairs, Peyman Ghorbani, has been appointed first vice chair of International Monetary Fund’s Group of Twenty-Four (G-24).

G-24 was established in 1971 to coordinate the positions of emerging markets and developing countries on international monetary and development finance issues.

It also helps ensure that their interests are adequately represented at the Bretton Woods Institutions, particularly in the International Monetary and Financial Committee (IMFC) and Development Committee meetings of the IMF and World Bank.

The group—officially called the Intergovernmental Group of Twenty-Four on International Monetary Affairs and Development—is not an organ of the IMF but the IMF provides secretariat services for the group. The ministers of the group meet twice a year, prior to the IMFC and development committee meetings.

Addressing a G24 virtual meeting, Ghorbani said the worldwide spread of coronavirus over the last three months has cut short thousands of lives and caused major disruptions in the global economy.

“With close to 5,000 deaths, Iran is the hardest hit country in the Middle East and the G24 members,” CBI’s website quoted him as saying.

To mitigate the effect of virus, he added, “Iranian authorities have done their best, by employing financial, monetary and budgetary means to save lives and strive to manage emergency hygiene services to reduce fatalities and minimize the economic impact.”

Ghorbani underscored the need for upholding unbiased, equal and fair procedures for allocation of financial assistance by regional and international organizations.

The Central Bank of Iran has requested $5 billion in emergency loan from the IMF to contain spread of the infectious disease and mitigate its dangerous economic impact.

However, there have been reports in the foreign media that the crisis lender may reject the request under pressure from the United States.

Jihad Azour, director of IMF’s Middle East and Central Asia Department said Wednesday that the fund was gathering data from Iran over its request.

The G-24 met via teleconference on April 14 to discuss subjects related to emerging and developing countries (EMDCs) need for large-scale financial and technical support.

Algeria, Cote d’Ivoire, Egypt, Ethiopia, Gabon, Ghana, Nigeria, South Africa, the Democratic Republic of Congo, Argentina, Brazil, Colombia, Guatemala, Mexico, Peru, Trinidad and Tobago, Venezuela, India, Iran, Lebanon, Pakistan, Philippines, Sri Lanka and Syria are members of the group.