Nirmala Sitharaman (India’s finance minister) has called on the International Monetary Fund to play a “lead role” in regulating cryptocurrency assets. Kristalina Georgieva, IMF’s Managing Director, says that the global organization is ready to work alongside India on issues such as climate change and crypto regulation.
Nirmala Sitharaman, Indian Finance Minister, met Kristalina Georgieva (managing director and chairman of executive board of International Monetary Fund) in New Delhi on Wednesday. They discussed many topics, including India’s future G20 presidency and crypto regulation.
According to India’s Ministry of Finance Sitharaman and Georgieva talked about the importance of crypto asset regulation and the need for a global coordinated, synchronized approach. The Indian finance minister also urged the IMF “play a leading role in this regard.
India pushes the IMF to lead crypto regulation
Sitharaman’s statements echo her call for a global regulatory framework to regulate cryptocurrencies at a meeting in April with the IMF/World Bank. The Indian finance chief warned about money laundering and terrorist financing risks that could affect all countries. She also noted that no country can handle these risks on its own. She stressed that crypto assets can only be controlled when countries work together.
Georgieva tweeted following Wednesday’s meeting with the Indian finance Minister, confirm[ing] that the IMF is “ready to work with” the Indian finance Minister “on climate change and crypto regulation, as well as other global challenges of our time.”
Georgieva, who met with Sitharaman on Friday, told CNBC TV18 that the IMF was aligned to India in crypto regulation. She stressed the importance of balancing both the pros and the cons. The IMF managing director elaborated further:
India’s digital ecosystem has taken a leap forward as cryptos are thriving without regulation. Cryptos are like the Wild West.
Georgieva also noted that Indian Prime Minister Narendra Modi had put emphasis on the benefits of leveraging India’s experience in digitalization, and added that a more practical roadmap can be crafted with clear deliverables. The IMF chief stated that India should use its leadership to increase transparency and data ownership.
