The Reserve Bank of India Governor, Shaktikanta Das, called on the G20 nations on Friday to resolutely address the challenges that the global economy faces, including threats to financial stability and debt distress.

Das while addressing the inaugural session of the meeting of G20 finance ministers and central bank governors stated that there is now increased optimism that the world may avoid a deep recession and only endure moderate growth or gentler recession, despite recent improvements in the outlook for the global economy,

"yet uncertainties lie ahead of us." he added.

He further said "Together we must resolutely address the challenges that confront us, including those that are of medium to long-term nature such as threat to financial stability, debt distress, climate finance, fractures in global trade and strains on global value chains. We must promote greater global economic cooperation and position the global economy on a trajectory of strong sustainable balanced and inclusive growth,"

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This is the first meeting of the G20's finance ministers and central bank governors under India's Presidency.

The RBI Governor stated that the G20 is ready to embark on a transformative path and that the effort in the financial track would be to solidify unwavering faith in the G20 as a multilateral forum to address issues.

In her inaugural address, Finance Minister Nirmala Sitharaman said that the G20 discussions in 2023 under the Indian Presidency will centre on discovering comprehensive solutions to the most pressing global concerns.

"The G20 can transform lives across the globe by leveraging the complementary strengths of members while respecting country needs and circumstances. It can be an incubator of new ideas… and a forum to listen to the voices of the 'Global South'," Sitharaman said.

(With inputs from PTI)

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