Global Convergence for Growth Summit

Why in News?

Union Finance Minister Nirmala Sitharaman participated virtually in the Global Convergence for Growth Summit on 11 June 2026, where she called for stronger multilateral institutions and greater support for developing countries.

Key Highlights

• The Summit, chaired by Emmanuel Macron, brought together leaders from the G7 countries, India, Brazil, China, Kenya, South Korea, and the International Monetary Fund to discuss balanced global economic growth.
• Representing India, Smt. Sitharaman stated that while prosperity and challenges are shared globally, the burden of conflicts and economic uncertainty falls disproportionately on developing countries and the Global South.
• She emphasized the need to strengthen confidence in multilateral institutions and make them more responsive to the needs of developing economies.
• The Finance Minister called for larger, more effective, and more representative Multilateral Development Banks (MDBs) with enhanced financing capacity, operational agility, and responsiveness.
• She noted that stronger MDBs are essential for providing greater financial support to developing countries and emerging economies to achieve sustainable and inclusive growth.

About Multilateral Development Banks (MDBs)

• MDBs are international financial institutions that provide loans, grants, and technical assistance for development projects.
• Major MDBs include the World Bank Group, Asian Development Bank, and New Development Bank.

Source: PIB