To ensure the global economic revival, the G20 countries have pledged to trade financing trillion of dollars to developing countries in the corona virus-hit pandemic according to a top official with the World Trade Organization said on Saturday.
The global gap in trade financing has suffered a steep rise due to the virus-ridden world, especially in the least developed countries. Over 50% of the financial support requests being rejected according to The World Economic Forum. WTO Deputy Director-General Alan Wolff stated “When crops do not move and factories are idled throughout the developing world, the global recovery will be delayed for all,” told the leaders. “A trade finance initiative should be seen as an essential part of improving the outlook for economic recovery.” The least developed countries have been hit very hard due to the lack of access and suffering from the high cost of financial transactions.
The need for cooperation among financial institutions, WTO, and large banking institutions to provide financial aid to improve the trade among the least developed countries. A joint statement will be drafted on Sunday of the commitment to the multilateral trading system.