Union Minister for Finance & Corporate Affairs Smt. Nirmala Sitharaman participated in the 1^st BRICS Finance Ministers and Central Bank Governors (FMCBG) meeting under the BRICS Russian Chairmanship today. The agenda of the meeting included discussions on the outcomes of G20 Saudi Presidency in 2020, a digital platform to encourage infrastructure investments and expansion of the membership of the New Development Bank.

The Finance Minister observed that the G20, of which all BRICS countries are members, has delivered some very significant initiatives this year including the G20 Action Plan in response to COVID-19 which has provided broad guidance to navigate a collective global response to the crisis. Additionally, the G20 Debt Service Suspension Initiative ensured immediate support to address the liquidity needs of low-income countries. She further noted that BRICS members have played an important role in ensuring that concerns of emerging economies are appropriately reflected in these initiatives.

On the ongoing international efforts to find a solution to the issue of taxation of digital economy, Smt. Sitharaman said that a consensus solution will play an important role in ensuring fairness, equity and sustainability of tax systems.

The BRICS Finance Ministers and Central Bank Governors also discussed expansion of the membership of the New Development Bank (NDB). The Finance Minister supported the expansion of the membership of NDB and emphasised the importance of regional balance. Smt. Sitharaman also shared her perspective on Russia’s initiative to develop an integrated Digital Platform (Data Room).

Taxation of the digital economy: consensus-based solution urged to ensure fairness and sustainability of tax systems. The meeting endorsed the G20 Action Plan and the Debt Service Suspension Initiative as central multilateral responses to COVID 19, urged a consensus solution for taxation of the digital economy to ensure fairness and sustainability of tax systems, supported expansion of the New Development Bank's membership with attention to regional balance, and considered development of an integrated digital platform to foster infrastructure investment and information sharing.