By Oluwakemi Kindness
Finance chiefs from the world’s leading economies are meeting in Paris for crucial talks as rising tensions in the Middle East continue to shake global economic confidence.
The two-day meeting of the Group of Seven, also known as the G7, is being hosted by France, which currently holds the group’s rotating presidency.
The talks are expected to focus on the growing economic uncertainty caused by the ongoing conflict involving Iran, trade disputes linked to tariffs introduced by US President Donald Trump, and concerns over inflation and slowing global growth.
French Finance Minister, Roland Lescure, says world economies are facing serious structural challenges, including America’s rising budget deficit, Europe’s struggle with technological innovation, and China’s industrial overcapacity.
Another major issue on the table is reducing dependence on China’s dominance in rare earth minerals, which are essential for artificial intelligence and advanced technologies driving the modern economy.
Despite growing disagreements among member nations, Lescure insists multilateral cooperation remains important, although he admits discussions with the United States have not been easy.
Meanwhile, German Finance Minister, Lars Klingbeil, says the G7 remains the right platform for engaging the United States on efforts to end the Iran conflict.
He warned that the war is already hurting global economic development and stressed the need to stabilise the Middle East and protect shipping routes through the Strait of Hormuz, a vital channel for global oil supplies.
The meeting is expected to end on Tuesday with a joint press briefing by G7 finance leaders.
