Intervention by MoS (PM) during the G20 Development Ministers' Meeting : Session I on Illicit Financial Flows and Social Protection (July 25, 2025)

Session I on Illicit Financial Flows and Social Protection

Thank you Minister Ramokgopa for your warm welcome and hospitality!

Excellencies, ladies and gentlemen.Namaskar!

2. The G20 Development Working Group since its inception in 2010 has been the lynchpin of the development agenda in G20. The deliberations and outcomes of this working group are, therefore, paramount for the developing countries.

3. The developing countries disproportionately face the brunt of global challenges and crises, be it climate change or geo-political conflicts. At the same time, we have to strike a balance between carrying out energy transitions while striving for our development ambitions. This is an unprecedented challenge that developing countries have to face today and it calls for mobilizing of resources.

4. In this context, the focus on tackling illicit financial flows is important. While G20 has done laudable work in promoting tax transparency and a more equitable international tax system, more needs to be done to ensure that the SDG financing gap estimated at about 4 trillion dollars is bridged.

5. The G20 during the Indian presidency provided the much needed thrust on reform of the international financial architecture and multilateral development banks which led to the roadmap on better, bigger and more effective multilateral development banks. This roadmap needs to be implemented expeditiously.

6. The discussions in this working group are opportune and come at the heels of the fourth Financing for Development conference that concluded earlier this month at Seville, Spain.

7. Excellencies, the second priority of this working group on Social Protection is vital. Mahatma Gandhi had once said, "Poverty is the worst form of violence." The G20 must be at the forefront of driving efforts to rid the world of this violence. I am glad that we are taking forth the focus on SDGs 1 and 2 this year as well. Specifically on social protection, during the New Delhi G20 Summit, leaders had committed to addressing skill gaps, promoting decent work and ensuring inclusive social protection policies for all. We should reinforce this ambition.

8. We each bring unique perspectives and national policies regarding ensuring social protection which enriches our collective understanding. India, for instance, manages one of the world's largest cash and in-kind transfer to 800 million people each month. Guided by the principle of Antodaya, or reaching the last mile, our human-centric approach in Bharat has seen more than 250 million people lifted out of multidimensional poverty over the last 10 years. Under the visionary leadership of Hon'ble Prime Minister Sh. Narendra Modi, we have launched the world's largest publicly funded health insurance scheme, which is entirely digital and paperless. Our robust digital public infrastructure has enabled a transformation of service delivery, with direct benefit transfers to over 530 million people. India's effective policies have made it one of the most equal societies in the world, ranking fourth in the equality index globally, as per the latest report of the World Bank. India's inclusive development model stands as a guide for other countries to emulate.

9. Excellencies, in conclusion, I would once again like to convey India's support to these priorities and our resolve to collectively tackle the issue of illicit financial flows and ensuring social protection for our people.

Kruger
July 25, 2025