LEADERS FROM the G20 group gathered here yesterday in the hope of consolidating an incipient recovery and reshaping the world economy to prevent a repeat of the crisis.
“We will work with the world’s largest economies to chart a course for growth that is balanced and sustained,” said US president Barack Obama, the summit’s host. “That means vigilance to ensure that we do not let up until our people are back to work.”
Washington is seeking the G20’s approval for a Framework for Sustainable and Balanced Growth when the summit ends late today. The objective of the framework is to correct huge imbalances in world trade, but analysts say it will be difficult to implement.
The US is also seeking a decision to increase the percentage of capital held by banks, though a precise figure will not be agreed until next year.
Most of the leaders who attended the opening reception and dinner here last night travelled from the UN General Assembly in New York.
This is the third G20 summit since Lehman Brothers bank collapsed in September last year, precipitating the global crisis. The G20 grouping has revolutionised the way international economic policy is made.
“What we are trying to do is to create a new system of international economic co-operation around the world,” British prime minister Gordon Brown said. “We’ve got this one chance to make a huge success of international economic co-operation.”