2ndUPDATE:G20:France Sarkozy:New Fincl Rules 'Non-Negotiable'
By Gabriele Parussini and Nathalie Boschat
Of DOW JONES NEWSWIRES
http://online.wsj.com/article/BT-CO-200 ... 13446.html
LONDON (Dow Jones)--France and Germany raised the pressure a notch Wednesday, saying on the eve of the Group of 20 summit that the creation of a new architecture for the global financial system is "non-negotiable."
"We want the principles of a new financial regulation. It's non-negotiable", French President Nicolas Sarkozy said at a joint press conference with his German counterpart, Chancellor Angela Merkel. The German leader added that "this needs to be laid down in the communique."
Sarkozy and Merkel said that agreement needs to be reached and appear in writing in the final statement on the following issues: Countries that don't comply with international standards on taxation, supervision and money laundering; hedge fund registration; banker and trader pay; and tougher rules for credit rating agencies.
A person in the French delegation told Dow Jones Newswires after the press conference that the thorniest issues on the list, namely tax havens and banker compensation, are likely to be decided on at the head of state and government level.
France and Germany have presented a united front in the run-up to the summit in a bid to get through their tough regulatory agenda and reject other countries' calls for more economic stimulus.
Sarkozy said France and Germany have already done their bit as far as stimulus is concerned, stressing that both countries have put enough "fuel" in the economy. Merkel added that while both countries were ready to help poorer nations unable to put in place fiscal packages on their own pull out of the crisis, this wasn't intended as a "bargaining chip" to get their way on regulatory demands.
Asked whether he will leave the summit if its outcome doesn't satisfy French demands, Sarkozy softened his stance.
"I've just arrived - do you want me to leave?" he said.
French Finance Minister Christine Lagarde told the BBC on Tuesday that Sarkozy was prepared to leave the summit if "the deliverables" weren't there.
The two leaders looked determined on all fronts.
"We need to have a list of those non-cooperating with the rules," Merkel said.
France and Germany have been pushing hard for the G20 to adopt three separate lists of non cooperative centers: one drafted by the Organization for Economic Cooperation and Development listing countries which don't allow the exchange of information with other countries' fiscal authorities; one for countries involved in money laundering, and a third one for those breaching Financial Stability Forum rules on transparency and prudential requirements.
The move has been so far resisted by China in particular, which wants to preserve the looser financial regulation of Hong Kong and Macau.
"Every one will have to take a stand on fiscal havens. The question is whether a head of state can say that tax havens are acceptable. We don't think so," he said, adding there was no need for a "grand international summit to have a list" of non-cooperative centers.
On credit rating agencies, which have been blamed for being partly responsible for the financial crisis, Sarkozy said their lack of transparency is "a scandal," and called for measures to end their conflicts of interest.
The French president also recommended that securitization be "traceable," meaning that banks should keep on their balance sheets a certain amount of the securitized products they sell.
Both France and Germany are keen to get an agreement from the G20 summit to cap bankers' pay, amid rising anger from public opinions on the subject.
In France, uproar at top executives of some of the country's largest banks, who awarded themselves stock options while accepting state aid and cutting jobs, prompted the government to pass urgent legislation last week.
"Trader remuneration is a global problem," Sarkozy said. "If there's no global solution, that's going to put our countries at a disadvantage."
G20 and new global financial architecture
G20 and new global financial architecture
Re: G20 and new global financial architecture
Along with new global financial architecture we als need new Global MARKETECTURE
Re: G20 and new global financial architecture
Why IB4TL?
After current economic crisis there are some efforts to create a new economic world order. Shouldn't we track that and understand how that will be formed? We should also see where India will be placed in that new order.
After current economic crisis there are some efforts to create a new economic world order. Shouldn't we track that and understand how that will be formed? We should also see where India will be placed in that new order.
Re: G20 and new global financial architecture
Shyam,
The reason for IB4TL is that the thread starter, in is usual way, copied and pasted an article. He did not give any of his opinions, not even one line.
The reason for IB4TL is that the thread starter, in is usual way, copied and pasted an article. He did not give any of his opinions, not even one line.
Re: G20 and new global financial architecture
What is your contribution.Raj wrote:Shyam,
The reason for IB4TL is that the thread starter, in is usual way, copied anurd pasted an article. He did not give any of his opinions, not even one line.
Find out what others are posting.
Re: G20 and new global financial architecture
The penchant for posting IB4TL got a member banned for a month.
Re: G20 and new global financial architecture
So pumping 750 billion dollars into IMF is a great way to keep the dollar breathing especially after all the recent noise...great move this to spruce up the dollar....
Grrr...Brown speaks as if UK is a super-power and is the deciding authority, or is it just he speaks coz the summit is in London?
Grrr...Brown speaks as if UK is a super-power and is the deciding authority, or is it just he speaks coz the summit is in London?
Re: G20 and new global financial architecture
http://www.google.com/hostednews/ap/art ... AD97AKENG0G-20 to infuse funds into International Monetary Fund
USA Today - 1 hour ago
By David J. Lynch, USA TODAY Leaders of the G-20 agreed Thursday to massively re-arm the International Monetary Fund for its fight against economic ...
Obama hails 'historic' G20 summit agreement on $1 trillion measures
Irish Times - 1 hour ago
US president Barack Obama with Saudi Arabias King Abdullah during their bilateral meeting at the G20 summit in London, yesterday. ...
Putting the G20 deal to work
Irish Times - 1 hour ago
THE POLITICS of political economy were positively to the fore at yesterday’s Group of 20 summit in London. Agreement to triple funding for the International ...
Brown and Obama Claim Summit Victories
Wall Street Journal - 1 hour ago
By JONATHAN WEISMAN and ALISTAIR MACDONALD LONDON -- US President Barack Obama and British Prime Minister Gordon Brown both claimed to emerge as winners ...
G-20 Leaders Promise Measures to Fight Global Recession
Voice of America - 1 hour ago
Leaders of the world's largest rich and developing economies met Thursday in London. The Group of Twenty agreed to an additional trillion dollars for the ...
Stability, growth, jobs = $1 trillion
China Daily - 2 hours ago
By Bao Daozu (China Daily) The Group of 20 leaders yesterday pledged an additional $1.1 trillion to restore credit, growth and jobs in the world economy, ...
Analysis: But will it work?
By MARTIN CRUTSINGER – 2 hours ago
WASHINGTON (AP) — Will it all work? World leaders achieved the minimum at their London summit, cobbling together more resources for the International Monetary Fund and pledging to better regulate unruly financial markets. But no country would budge from its bottom line, so the biggest goals were not met.
Global markets cheered anyway, happy that the Group of 20 leaders were able to demonstrate unity in the midst of the worst financial crisis in decades.
In the end, the ability of President Barack Obama and the other leaders to paper over their differences may turn out to be the biggest achievement of all.
Despite some tough talk going into the meetings, including a threatened walkout by French President Nicolas Sarkozy if things didn't go his way, the leaders emerged with a show of common purpose.
Their final communique even contained a pleasant surprise in the form of a tidy $1.1 trillion pledged to help make sure emerging economies like those in Eastern Europe and Latin America can tap into sufficient resources at the International Monetary Fund to withstand the current turbulence.
That pile of money was easier to obtain because it won't force the United States or other countries to increase their deficits to supply the additional resources to the IMF. Instead, much of the increased support will come in the form of loans the major countries will agree to provide to the IMF if the agency needs more firepower.
The leaders also pledged to fill in the current gaps in financial regulation that have been laid bare by the troubles that began in subprime mortgage lending in the United States but have now spread to other types of loans not only in the U.S. but around the world.
Obama stood firm against a determined push from Sarkozy and German President Angela Merkel for creation of a global regulator to attack what the Europeans see as a U.S. brand of unfettered capitalism that brought the global economy to its knees.
In the end the U.S. argument prevailed. Instead of the more powerful global regulator, the summit called for better coordination among individual country regulators and increased transparency to provide more oversight of the so-called shadow banking system of hedge funds and other lightly regulated financial entities.
The approach adopted by the G-20 closely follows the outlines of a regulatory overhaul that U.S. Treasury Secretary Timothy Geithner unveiled last week.
Many economists believe this approach offers the best chance of repairing the flaws in the current system quickly, avoiding a long, drawn-out fight over creation of an all-powerful global overseer.
"I think the fact that the G-20 did not go for a global regulator was the right decision," said Morris Goldstein, a former top official at the IMF and now an analyst with the Peterson Institute for International Economics in Washington. "The key agreement they did achieve was to declare that any systemically important institution, such as hedge funds, will be regulated."
The G-20 empowered a renamed and expanded Financial Stability Board — which will now include all the member countries in the G-20 — to provide guidance and expertise in the regulatory overhaul effort. This group, formerly called the Financial Stability Forum, was created after the 1997-98 Asian currency crisis to provide a way for countries to discuss financial regulatory issues.
The G-20 also pledged an immediate effort to crack down on offshore tax havens, a loophole in the current global regulatory system that costs the United States and other nations billions of dollars in lost tax revenue each year. These offshore finance centers are also the home for many hedge fund operations.
But that effort's success could depend heavily on whether the major economies can bring enough pressure on countries such as Monaco and the Grand Cayman Islands.
Obama and his colleagues made all the right pledges to fight political pressure at home to raise protectionist barriers to protect domestic industries. The G-20 made the same pledge at their first leaders' summit last November in Washington. But since that time, 17 of the nations at that meeting, including the United States, have moved to protect domestic industries in the current downturn.
Even with that failure of will, analysts said, the problems would be much worse if there wasn't a G-20 process at work to keep nations from pursing the disastrous policies that turned the stock market crash of 1929 into the Great Depression of the 1930s.
"The main benefit of the G-20 is that it demonstrates that world leaders are working together and have a high level of commitment to quelling the crisis," said Mark Zandi, chief economist at Moody's Economy.com.
"They have taken a lesson from the Great Depression when countries didn't work together and that caused the whole system to crumble," Zandi said. "No one wants to see that happen again."
EDITOR'S NOTE _ Martin Crutsinger has covered the economy for The Associated Press for 25 years.
Re: G20 and new global financial architecture
http://www.marketwatch.com/news/story/G20-supports-IMF-plan-raise/story.aspx?guid={5ABAE8F2-060D-44BC-9905-EB79665AEACE}
Looks like G20 along with Khan trying to manipulate Gold prices which after dropping a hefty $24/Oz at one point has recovered a bit to tread water around the $900 mark. Could be trying to create a scenario to make EM countries sell gold for wampum?
Looks like G20 along with Khan trying to manipulate Gold prices which after dropping a hefty $24/Oz at one point has recovered a bit to tread water around the $900 mark. Could be trying to create a scenario to make EM countries sell gold for wampum?
Last edited by Najunamar on 03 Apr 2009 08:20, edited 1 time in total.
Re: G20 and new global financial architecture
http://www.independent.co.uk/news/world ... 61095.html
The ultra free market is no longer dogma
In saying as baldly as he did yesterday that "the Washington consensus is over", Gordon Brown effectively rejected, on behalf of the whole G20, the ultra free-market dogmatism that the US and Britain liked to preach after the collapse of communism. The IMF and World Bank had already started to distance themselves from the idea that countries seeking their assistance should be encouraged, or required, to adopt free-market mechanisms on the US model. But the outcome of the London summit is the clearest signal yet that the US model inherited from the Clinton and Bush years will be regarded as one way of doing things, alongside others. In the new world order, economic transparency, accountability and effectiveness will also be considered virtues.
The US is becoming just another big country
We do not know exactly what went on inside the ExCel centre. Beyond it, though, all eyes were on Barack and Michelle Obama. Separately and together, they were the couple the crowds turned out to see. President Obama was the national leader most in demand for bilateral meetings, starting with breakfast, a round of talks and a long-ish press conference at No 10. From what we know about preparations for the summit, and from the communiqué, however, the voice of the United States was one, albeit an influential one, among others.
In London, Mr Obama's celebrity status seems not to have translated into diplomatic weight. This may reflect the "listening" stance he has adopted in contrast to his predecessor's air of certainty. It could reflect the US economic plight or, more prosaically, it could simply be because he has yet to appoint many Treasury and State Department officials. But it could also be a sign of new times. By inclination or by necessity, the post-Bush United States seems to see its place in the world a little differerently: less American exceptionalism, more consensus-seeking. In the G20, the presence of China, India and Indonesia, among others, gives a foretaste of a future world order.
China made its shy debut as a rising power
Right up there with Barack Obama as the international leader most indemand for bilateral meetings was Hu Jintao, President of China. Even so, he kept a low profile; fitting in, saying nothing out of turn. There was an ambivalence that suggested uncertainty about how to handle growing power. Before the summit, China had backed a proposal for a new international reserve currency – an idea whose time may yet come. It had also fended off another US demand for it to reduce the trade imbalance by revaluing its currency. In London, China's rise was treated by everyone else as inevitable, if not already a fact. President Hu still seemed desperate not to scare the horses.
Britain has a future as host to the world
A parochial post script. It was all going to be an ill-temperered disaster; draft communiqués, M. Sarkozy complained, were crossing his desk by the hour. In the event, there were smiles, the sun shone, the roads were clear, there were drinks with the Queen, dinner at Downing Street – and an agreement that satisfied even the French. So, not a disaster at all.
Re: G20 and new global financial architecture
G-20 Shapes New World Order With Lesser Role for U.S., Markets
April 3 (Bloomberg) -- Global leaders took their biggest steps yet toward a new world order that’s less U.S.-centric with a more heavily regulated financial industry and a greater role for international institutions and emerging markets.
At the end of a summit in London, policy makers from the Group of 20 yesterday delivered a regulatory blueprint that French President Nicholas Sarkozy said turned the page on the Anglo-Saxon model of free markets by placing stricter limits on hedge funds and other financiers. The leaders also pledged to triple the resources of the International Monetary Fund and to hand China and other developing economies a greater say in the management of the world economy.
“It’s the passing of an era,” said Robert Hormats, vice chairman of Goldman Sachs International, who helped prepare summits for presidents Gerald R. Ford, Jimmy Carter and Ronald Reagan. “The U.S. is becoming less dominant while other nations are gaining influence.”
A lot was at stake. If the leaders had failed to forge a consensus -- Sarkozy this week threatened to quit the talks if they didn’t back much tighter regulation -- it might have set back the world’s economy and markets just as they’re showing signs of shaking off the worst financial crisis in six decades.
That’s what happened in 1933, when President Franklin D. Roosevelt torpedoed a similar conference in London by rejecting its plan to stabilize currency rates and in the process scotched international efforts to lift the world out of a depression.
More Conciliation
Seeking to avoid a repeat of that historic flop, President Barack Obama junked the at-times go-it-alone approach of his predecessor, George W. Bush, and adopted a more conciliatory stance toward his fellow leaders.
“In a world that is as complex as it is, it is very important for us to be able to forge partnerships as opposed to simply dictating solutions,” Obama told a press conference at the conclusion of the summit.
Stock markets rose in response to the steps taken by the G-20 leaders. The Standard & Poor’s 500 Index climbed 2.9 percent to 834.38. The Dow Jones Industrial Average added 216.48 points, or 2.8 percent, to 7,978.08. Both closed at their highest levels since the second week of February.
In an effort to promote harmony, Obama soft-pedaled earlier U.S. demands that the summit agree on a specific target for fiscal stimulus in the face of opposition from France and Germany. Instead, he settled for a vague pledge that the leaders would do whatever it takes to revive the global economy.
Repudiation of Past
The president also signed on to a communiqué that Nobel Laureate Joseph Stiglitz said repudiated the previous U.S.-led push to free capitalism from the constraints of governments.
“This is a major step forward and a reversal of the ideology of the 1990s, and at a very official level, a rejection of the ideas pushed by the U.S. and others,” said Stiglitz, an economics professor at Columbia University. “It’s a historic moment when the world came together and said we were wrong to push deregulation.”
In bowing to that view, the leaders conceded in a statement that “major failures” in regulation had been “fundamental causes” of the market turmoil they are trying to tackle. To make amends and to try to avoid a repeat of the crisis, they pledged to impose stronger restraints on hedge funds, credit rating companies, risk-taking and executive pay.
“Countries that used to defend deregulation at any cost are recognizing that there needs to be a larger state presence so this crisis never happens again,” said Argentine President Cristina Fernandez de Kirchner.
Financial Stability Board
A new Financial Stability Board will be established to unite regulators and join the IMF in providing early warnings of potential threats. Once the economy recovers, work will begin on new rules aimed at avoiding excessive leverage and forcing banks to put more money aside during good times.
German Chancellor Angela Merkel, who had unsuccessfully sought to convince the U.S. and Britain to sign on to similar steps before the crisis began in mid-2007, hailed the communiqué as a “victory for common sense.”
The U.S. did, though, take the lead in getting the summit to agree on an increase in IMF rescue funds to $750 billion from $250 billion now. Japan, the European Union and China will provide the first $250 billion of the increase, with the balance to come from as yet unidentified countries.
“This will provide the IMF with enough resources to meet the needs of East European nations and also provide back-up funding to a broader set of countries,” said Brad Setser, a former U.S. Treasury official who’s now at the Council on Foreign Relations in New York.
IMF Allocation
The G-20 also agreed to an allocation of $250 billion in Special Drawing Rights, the artificial currency that the IMF uses to settle accounts among its member nations. The move is akin to a central bank such as the Federal Reserve effectively creating money out of thin air, except it’s on a global scale.
The increase in Special Drawing Rights will allow countries to tap IMF money without having to accept changes to economic policies often demanded as a condition of aid. The cash is disbursed in proportion to the money each member-nation pays into the fund. Rich nations will be allowed to divert their allocations to countries in greater need.
The G-20 said they would couple the financing moves with steps to give emerging economic powerhouses such as China, India and Brazil a greater say in how the IMF is run.
Emerging Markets Benefit
Citigroup Inc. economists Don Hanna and Jurgen Michels called the summit agreement “a boon to emerging markets” in a note to clients yesterday.
Mexico said Wednesday it will seek $47 billion from the IMF under the Washington-based lender’s new Flexible Credit Line, which allows some countries to borrow money with no conditions.
Emerging-market stocks, bonds and currencies rallied yesterday on speculation other developing nations will follow Mexico’s lead. Gains in Polish, Czech and Brazilian stocks helped push the MSCI Emerging Markets Index up 5.6 percent to 613.07, the highest since Oct. 15.
In a bid to avoid another mistake of the depression era, G-20 leaders repeated an earlier pledge to avoid trade protectionism and beggar-thy-neighbor policies that could aggravate the decline in the global economy.
The Paris-based Organization for Economic Cooperation and Development predicted this week that global trade will shrink 13 percent this year as loss-ridden banks cut back on credit to exporters and importers.
Trade Finance
To help combat that, the G-20 said they will make at least $250 billion available in the next two years to support the finance of trade through export credit agencies and development banks such as the World Bank.
The summit took place amid speculation among investors that the deepest global recession in six decades may be abating. Data released yesterday showed orders placed with U.S. factories rose in February for the first time in seven months, U.K. house prices unexpectedly gained in March and Chinese manufacturing increased. Still, a report today is forecast to show U.S. unemployment at its highest in a quarter-century.
“If the economy turns more favorable, this meeting will probably be viewed as a milestone,” said C. Fred Bergsten, a former U.S. official and director of the Peterson Institute for International Economics in Washington
http://www.bloomberg.com/apps/news?pid= ... refer=home
April 3 (Bloomberg) -- Global leaders took their biggest steps yet toward a new world order that’s less U.S.-centric with a more heavily regulated financial industry and a greater role for international institutions and emerging markets.
At the end of a summit in London, policy makers from the Group of 20 yesterday delivered a regulatory blueprint that French President Nicholas Sarkozy said turned the page on the Anglo-Saxon model of free markets by placing stricter limits on hedge funds and other financiers. The leaders also pledged to triple the resources of the International Monetary Fund and to hand China and other developing economies a greater say in the management of the world economy.
“It’s the passing of an era,” said Robert Hormats, vice chairman of Goldman Sachs International, who helped prepare summits for presidents Gerald R. Ford, Jimmy Carter and Ronald Reagan. “The U.S. is becoming less dominant while other nations are gaining influence.”
A lot was at stake. If the leaders had failed to forge a consensus -- Sarkozy this week threatened to quit the talks if they didn’t back much tighter regulation -- it might have set back the world’s economy and markets just as they’re showing signs of shaking off the worst financial crisis in six decades.
That’s what happened in 1933, when President Franklin D. Roosevelt torpedoed a similar conference in London by rejecting its plan to stabilize currency rates and in the process scotched international efforts to lift the world out of a depression.
More Conciliation
Seeking to avoid a repeat of that historic flop, President Barack Obama junked the at-times go-it-alone approach of his predecessor, George W. Bush, and adopted a more conciliatory stance toward his fellow leaders.
“In a world that is as complex as it is, it is very important for us to be able to forge partnerships as opposed to simply dictating solutions,” Obama told a press conference at the conclusion of the summit.
Stock markets rose in response to the steps taken by the G-20 leaders. The Standard & Poor’s 500 Index climbed 2.9 percent to 834.38. The Dow Jones Industrial Average added 216.48 points, or 2.8 percent, to 7,978.08. Both closed at their highest levels since the second week of February.
In an effort to promote harmony, Obama soft-pedaled earlier U.S. demands that the summit agree on a specific target for fiscal stimulus in the face of opposition from France and Germany. Instead, he settled for a vague pledge that the leaders would do whatever it takes to revive the global economy.
Repudiation of Past
The president also signed on to a communiqué that Nobel Laureate Joseph Stiglitz said repudiated the previous U.S.-led push to free capitalism from the constraints of governments.
“This is a major step forward and a reversal of the ideology of the 1990s, and at a very official level, a rejection of the ideas pushed by the U.S. and others,” said Stiglitz, an economics professor at Columbia University. “It’s a historic moment when the world came together and said we were wrong to push deregulation.”
In bowing to that view, the leaders conceded in a statement that “major failures” in regulation had been “fundamental causes” of the market turmoil they are trying to tackle. To make amends and to try to avoid a repeat of the crisis, they pledged to impose stronger restraints on hedge funds, credit rating companies, risk-taking and executive pay.
“Countries that used to defend deregulation at any cost are recognizing that there needs to be a larger state presence so this crisis never happens again,” said Argentine President Cristina Fernandez de Kirchner.
Financial Stability Board
A new Financial Stability Board will be established to unite regulators and join the IMF in providing early warnings of potential threats. Once the economy recovers, work will begin on new rules aimed at avoiding excessive leverage and forcing banks to put more money aside during good times.
German Chancellor Angela Merkel, who had unsuccessfully sought to convince the U.S. and Britain to sign on to similar steps before the crisis began in mid-2007, hailed the communiqué as a “victory for common sense.”
The U.S. did, though, take the lead in getting the summit to agree on an increase in IMF rescue funds to $750 billion from $250 billion now. Japan, the European Union and China will provide the first $250 billion of the increase, with the balance to come from as yet unidentified countries.
“This will provide the IMF with enough resources to meet the needs of East European nations and also provide back-up funding to a broader set of countries,” said Brad Setser, a former U.S. Treasury official who’s now at the Council on Foreign Relations in New York.
IMF Allocation
The G-20 also agreed to an allocation of $250 billion in Special Drawing Rights, the artificial currency that the IMF uses to settle accounts among its member nations. The move is akin to a central bank such as the Federal Reserve effectively creating money out of thin air, except it’s on a global scale.
The increase in Special Drawing Rights will allow countries to tap IMF money without having to accept changes to economic policies often demanded as a condition of aid. The cash is disbursed in proportion to the money each member-nation pays into the fund. Rich nations will be allowed to divert their allocations to countries in greater need.
The G-20 said they would couple the financing moves with steps to give emerging economic powerhouses such as China, India and Brazil a greater say in how the IMF is run.
Emerging Markets Benefit
Citigroup Inc. economists Don Hanna and Jurgen Michels called the summit agreement “a boon to emerging markets” in a note to clients yesterday.
Mexico said Wednesday it will seek $47 billion from the IMF under the Washington-based lender’s new Flexible Credit Line, which allows some countries to borrow money with no conditions.
Emerging-market stocks, bonds and currencies rallied yesterday on speculation other developing nations will follow Mexico’s lead. Gains in Polish, Czech and Brazilian stocks helped push the MSCI Emerging Markets Index up 5.6 percent to 613.07, the highest since Oct. 15.
In a bid to avoid another mistake of the depression era, G-20 leaders repeated an earlier pledge to avoid trade protectionism and beggar-thy-neighbor policies that could aggravate the decline in the global economy.
The Paris-based Organization for Economic Cooperation and Development predicted this week that global trade will shrink 13 percent this year as loss-ridden banks cut back on credit to exporters and importers.
Trade Finance
To help combat that, the G-20 said they will make at least $250 billion available in the next two years to support the finance of trade through export credit agencies and development banks such as the World Bank.
The summit took place amid speculation among investors that the deepest global recession in six decades may be abating. Data released yesterday showed orders placed with U.S. factories rose in February for the first time in seven months, U.K. house prices unexpectedly gained in March and Chinese manufacturing increased. Still, a report today is forecast to show U.S. unemployment at its highest in a quarter-century.
“If the economy turns more favorable, this meeting will probably be viewed as a milestone,” said C. Fred Bergsten, a former U.S. official and director of the Peterson Institute for International Economics in Washington
http://www.bloomberg.com/apps/news?pid= ... refer=home
Re: G20 and new global financial architecture
Ah! So France and Germany are declaring war on Switzerland and United Queendom?Countries that don't comply with international standards on taxation, supervision and money laundering
Re: G20 and new global financial architecture
^^^^^
Maybe there is a split in G20, G7, G8 or whatever the latest number is. There was a report about some G8 countries wanting to oust Italy. Germany and France could be awfully p*ssed off at Unkil and Ukstan.
Maybe there is a split in G20, G7, G8 or whatever the latest number is. There was a report about some G8 countries wanting to oust Italy. Germany and France could be awfully p*ssed off at Unkil and Ukstan.
Re: G20 and new global financial architecture
What can India do to create a parallel track exchange mechanism for the smaller economies like in East Africa and some like minded Gulf countries?
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panduranghari
- BRF Oldie
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Re: G20 and new global financial architecture
We cannot do it on our own. It is only possible to get close, if the whole world adopts these things;ramana wrote:What can India do to create a parallel track exchange mechanism for the smaller economies like in East Africa and some like minded Gulf countries?
Stable physical-only supply of gold
Stable, wide, awake and global demand of the physical gold
Much higher price
The end of captive savings
The end of gold traders who trade paper
Unambiguous ownership of the physical gold supply
This supply resumes its role in fiat interest rates i.e. gold dictates the interest rates.
The return of prudent lending standards
The return of capital ratio relevance
The retreat of Socialism
The reversal of regulatory capture
Meritocracy
You may say this is utopia. I am afraid, this will be a reality. We are at the very edge of the precipice. I wont predict the event because I am not an oracle. But its in the pipe line.