India calls for financial viability of infra projects in LMICs
At the Economic and Social Council (ECOSOC) on Friday, India, represented by its Deputy Permanent Representative to the UN, R Ravindra, has stated that infrastructure investments, especially in low and middle-income countries must follow principles of financial viability to avoid unsustainable debt burdens on such countries. Such a debt burden impacts the social and political turmoil as seen in many countries, and to that extent, all such investments should adhere to universally recognised norms of transparency, respect for sovereignty and national priorities.India reportedly has emphasised that deliberations on dealing with challenges of debt vulnerabilities of low and middle-income countries should not duplicate mechanisms already in place for addressing these issues — such as G20, IMF, and World Bank — but instead should focus on strengthening productive capacities for promoting sustainable growth, especially in the Least Developed Countries (LDCS), Landlocked Developing Countries (LLDCS), Small Island Developing States (SIDS) and other vulnerable economies. The need for increased global cooperation on illicit financial flows like financing of terrorism, cross-border tax evasion, and money laundering was also highlighted. India further pointed out that the developed countries' commitment to climate finance of USD 100 billion per year by 2020 is long overdue.