G-20 sees a rebound in global economic growth in 2020 and 2021

The G-20 finance ministers discussed the state of the international economy at their meeting in Riyadh, Saudi Arabia, this weekend, where they noted signs of a rebound in global economic growth in 2020 and 2021 and pledged to accelerate work on a global agreement on international taxation. Although they saw signs of a rebound in economic growth, the ministers acknowledged that there is a "complex" environment marked by "uncertainties" arising from trade tensions and the effects of the coronavirus, as reported by the Ministry of Economic Affairs and Digital Transformation. 

In addition, they discussed the implications of climate change on financial stability; progress on social cohesion and inclusive growth; sustainability and transparency of developing countries' debt; investment in infrastructure; and the stability of the financial system. 

The G-20 ministers gave a positive assessment of the progress made in the OECD framework to address the fiscal challenges arising from digitalisation and to ensure a minimum corporate taxation at international level. They also agreed to continue the work with a view to reaching a consensus solution that will lay the foundations for a political agreement at the meeting scheduled in July in Berlin and the leaders' summit in November. 

The Third Vice-President and Minister of Economic Affairs and Digital Transformation, Nadia Calviño, had the opportunity to report on the Government's adoption this week of the Bill on the Tax on Certain Digital Services, which aims to adapt taxation to the new business models of digital platforms, and to express Spain's support for reaching a global agreement in 2020. Calviño highlighted the differential growth of the Spanish economy and the priorities of the new government in the area of fiscal consolidation and the reduction of inequalities, underlining the "commitment to inclusive and sustainable growth", in line with the priorities of the G-20. 

The ministers also addressed the challenges of the financial sector and supported regulation and supervision in the digital area. In this context, the minister explained the Government's recent initiative in this area, with the adoption this week by the Council of Ministers of the bill to establish a secure testing framework, 'sandbox', which aims to accompany the digital transformation of the financial sector.