By zainab.joaque@awokonewspaper.sl
Washington DC, USA – Bank Governor Ibrahim Stevens has called for clarification on the anticipated benefits of the V20 instrument, particularly in relation to the newly proposed Contingent Liquidity Facility. Governor Stevens emphasized the necessity of placing this facility within the framework of disaster risk management, noting the existence of other established facilities.
Sierra Leone participated in the inaugural meeting of the V20 Finance Ministers Governors Working Group Meeting on the sidelines of the International Monetary Fund (IMF) World Bank Spring Meetings in Washington DC on Tuesday, April 16, 2024.
Governor Stevens highlighted that the meeting focused on sustainability, disaster risk management, and how central bank governors could provide financial support to countries facing such risks. He expressed interest in the Contingent Liquidity Facility but emphasized the need for more detailed information, stating, “Every one of us needs to get more detail so we have asked for a detailed concept note.”
The V20 Finance Ministers, representing 68 countries vulnerable to climate change, established a new group comprising their central bank governors to understand the economic impacts of the climate crisis. This Working Group was formed during the V20’s 11th Ministerial gathering at the Annual Meetings of the World Bank and IMF in Morocco in October 2023. Governor Stevens was accompanied by his Deputy, Sheik Alhaji Yayah Sesay, responsible for Financial Stability.
During the workshop, the Governors discussed avenues for climate action by central banks and the financial sector. They focused on identifying gaps in analytics, policies, and institutional designs for an effective response to climate change, and developing an action plan for integrating climate risks into central bank operations and the broader financial sector.
The Workshop aims to produce a high-level roadmap outlining policies and reforms needed at the central bank level to mainstream climate risks and promote climate action through financial sector reforms. ZIJ/17/4/2024