G20 nations yesterday pledged a “united front” in the fight against Covid-19, saying they are injecting US$5 trillion (RM21.5 trillion) into the global economy to counter the pandemic amid forecasts of a deep recession.

US President Donald Trump and Russia’s Vladimir Putin joined the emergency videoconference chaired by Saudi Arabia’s King Salman, who called for coordinated action while facing pressure to end an oil price war between Riyadh and Moscow that has roiled energy markets.

The talks come amid criticism that the G20 has been slow to address the coronavirus crisis, which has left more than 21,000 dead worldwide and triggered financial shock waves as more than three billion people live under lockdown.

“We are strongly committed to presenting a united front against this common threat,” said the leaders in a joint statement after the summit.

“We are injecting over US$5 trillion into the global economy as part of targeted fiscal policy, economic measures and guarantee schemes to counteract the social, economic and financial impact of the pandemic.”

The figure is the sum total of the fiscal stimulus packages adopted by individual G20 states, said the Chinese Foreign Ministry, adding that Beijing’s share amounts to US$344 billion.

As concerns mount for poorer countries without access to capital markets or adequate health facilities, G20 leaders also pledged to work with bodies like the International Monetary Fund to deploy a “robust” financial package to support developing nations.

“It is our responsibility to extend a helping hand to developing countries and (the) least-developed countries,” said King Salman.

Putin called for a “moratorium” on sanctions during the pandemic, telling G20 leaders that it is a matter “of life and death”.

French President Emmanuel Macron tweeted that “a strong initiative” will be launched to help African nations deal with the crisis.

The world’s 20 most industrialised countries are scrambling to defend their virus-wracked economies amid forecasts that they will likely plunge into a recession.

On Wednesday, financial ratings agency Moody’s estimated that the G20’s overall gross domestic product will contract by 0.5% this year, with the US economy shrinking 2% and the eurozone, 2.2%. – AFP, March 27, 2020.