During their July 17-18, 2025 meeting in Durban, South Africa, the G20 finance ministers and central bank governors delivered a major speech, the first joint communique since October, something they struggled to do earlier this year.
Their announcement clearly reiterated that central banks must be independent, which is a position that was weeks in the making due to repeated attacks by U.S. President Donald Trump against the Federal Reserve and Chair Jerome Powell. The statement noted:
“Central banks are strongly committed to ensuring price stability, consistent with their respective mandates, and will continue to adjust their policies in a data‑dependent manner.” It added:
“Central bank independence is crucial to achieving this goal.”
The third G20 Finance Ministers and Central Bank Governors Meeting has officially concluded.
The meeting outcomes, agreed in a communiqué consented to by all members, centre on strategic
macroeconomic issues.Read the Finance Track Communique here: https://t.co/UUhmA0bbpc… pic.twitter.com/U5MV7vdcIY
— G20 South Africa (@g20org) July 18, 2025
Holistic View on Global Economic Risks:
The statement identified a wide range of economic challenges that the world faces today. The ministers experienced threats from ongoing wars and conflicts, trade conflicts and tensions, supply chain disruptions, growing debt burdens, natural disasters and extreme weather events which all led to increased global uncertainty.
There was also affirmation of the G20 Common Framework for the restructuring of sovereign debt in vulnerable countries, along with a call for improved debt transparency by all creditors until all debtor countries add transparency to their lists of creditors and relevant non-adherence from public creditors as well as typical engagement from the broader private sector. Finally, the G20 encouraged World Trade Organization members to take meaningful steps towards reform in order to improve its ability to alleviate trade tensions and support international cooperation.
A Diplomatic Breakthrough Amid Strained Tensions:
The agreement is especially notable in light of the politically challenging environment for the G20 at the time it met earlier in 2025. There were politically complex issues at stake at the G20 such as US threats of tariffs and geopolitical divisions causing friction among partners when several key ministers including U.S. Treasury Secretary Scott Bessent was absent from the G20.
South Africa, in spite of these challenges, as host under its theme “Solidarity, Equality, Sustainability” was able to forge unity amongst members regarding a series of headline macroeconomic matters. South African officials hailed the communique a significant diplomatic victory, asserting that arriving at consensus was in itself a victory in an increasingly divided global climate.
