Saudi Arabia’s Finance Minister Mohammed Aljadaan, along with IMF Managing Director Kristalina Georgieva, issued the following statement at the conclusion of the two-day inaugural annual global Conference on Emerging Market Economies. The event took place in AlUla from February 16 to 17, and it was co-hosted by the Saudi Finance Ministry and the International Monetary Fund.
Emerging markets are capitalizing on these transformations to fortify their economies, noted the statement. With extensive digitalization and forward-thinking policies, the potential for harnessing the benefits of artificial intelligence (AI) is encouraging. Leveraging AI could significantly enhance the productivity and resilience of emerging market economies, but achieving this will necessitate reforms aimed at boosting investments in digital infrastructure and human capital. Additionally, deeper regional trade and financial integration will be crucial, Saudi and IMF further highlighted.
“We would like to thank emerging markets policymakers, academics, and representatives of the regional and international financial institutions for joining us and helping to make this first-ever AlUla Conference for Emerging Market Economies a successful forum for building greater collaboration and discussing the specific challenges facing emerging markets (EMs),” the statement further noted.
Over the past two days, we have explored how emerging economies can navigate the risks and, importantly, how they can seize the opportunities that lie ahead. One recurring theme has been the significance of unity of purpose and the necessity of continued collaboration to maintain the resilience of EM economies against shocks and foster growth.
Sweeping transformations shaping the global economy
This is a period marked by sweeping transformations—from technology to trade, and from climate to capital flows—and these shifts are redefining the global economy. The manner in which all these changes will unfold remains uncertain. However, it is clear that in an increasingly unpredictable and shock-prone environment, prioritizing the establishment of resilience through sound macroeconomic and financial policies must remain at the forefront, according to the statement.
Collaborative efforts to mitigate risks
While these transformations present substantial opportunities, it is essential that we collaborate to prevent the genuine risk of certain countries lagging behind. The primary line of defense will, undoubtedly, be robust domestic policies and reforms that enable the capture of these opportunities. Nonetheless, the international community can also play a supportive role in assisting countries and mitigating the risks of increasing divergence.
We take pride in having co-hosted the inaugural global forum that focuses exclusively on the economic prospects for emerging market economies. We eagerly anticipate the continuation of these discussions in the coming year and look forward to the second AlUla conference next year.”
