G7 meeting in Bengaluru today: Finance chiefs to discuss sanctions against Russia
1 min read . Updated: 23 Feb 2023, 08:26 AM IST
PremiumOne year into a war with Russia, Ukraine is under intense pressure to acquire funds.
On February 23, the Group of Seven (G7) financial chiefs will gather to discuss sanctions against Russia that will put pressure on it to cease the war in Ukraine. The G7 countries' finance ministers and central bank governors will gather in Bengaluru under the leadership of Japan. The gathering will take place over a year after Russia invaded Ukraine, referring to it as a "special military operation."
Since Russian forces destroyed large portions of the country's industrial base, grain exports and essential infrastructure a year into the war, Ukraine is under intense pressure to acquire funds. As a result, the economy shrank by about 30% in 2022, and the government was left without the funds necessary to meet its fundamental obligations.
In the run-up to the G7 leaders' summit meeting in Hiroshima on May 19–21, Japan is hosting the ministerial meetings of the G7 in 2023. Britain, Canada, France, Germany, Italy, Japan and the United States make up the G7.
Also Read: Russia vows to ‘burn’ German, US tanks in Ukraine
As IMF officials have started talks with the US, the G7 nations want to provide crucial support for Ukraine's efforts to secure money from the IMF by the end of March, according to persons familiar with the situation who spoke to Bloomberg.
In order to achieve an ambitious programme, the G7 states are anticipated to formally charge their officials with boosting up involvement with the IMF and Ukraine. One of several IMF requirements for concluding an agreement is the G7's approval.
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The G7 conference in Bengaluru will be followed by a larger gathering of G20 finance leaders from the major countries of the globe in Bengaluru, which will be hosted by India, which is now holding the G20 presidency.
"Support for Ukraine and sanctions against Russia will be the main topics of discussion," Japan's Finance Minister Shunichi Suzuki earlier said at a news conference. "We will continue to closely coordinate with G7 and the international community to enhance the effect of sanctions to achieve the ultimate goal of prompting Russia to withdraw."
(With agency inputs)
