G20 to warn on spillover from rate tightening in key meeting in Jakarta

Emerging markets must brace for monetary tightening in the United States and Europe while central banks must be clearer in their policy communication to avoid confusion, financial leaders of the world’s 20 biggest economies are likely to warn this week.

G20 finance ministers and central bank governors are to meet on February 17-18 in Jakarta. Global divergences in the post-pandemic recovery, a global corporate tax and financing the fight against climate change will be at the top of their agenda.

“I think the most important discussion will be on inflation developments,” one European G20 official involved in preparations for the meeting said.

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