The G-20 Summit Thread

[Netto Azure]

G20 summit 'critical for economy'
Small steps on road to recovery

Well in anticipation of the G-20 Leaders' Summit on Financial Markets and the World Economy in London on April 2, 2009 I've decided to create this thread for reflection.

G-20 Members:

http://en.wikipedia.org/wiki/File:Flag_of_Argentina.svg Argentina
http://en.wikipedia.org/wiki/File:Flag_of_Australia.svg Australia
http://en.wikipedia.org/wiki/File:Flag_of_Brazil.svg Brazil
http://en.wikipedia.org/wiki/File:Flag_of_Canada.svg Canada
http://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svg China
http://en.wikipedia.org/wiki/File:Flag_of_France.svg France
http://en.wikipedia.org/wiki/File:Flag_of_Germany.svg Germany
http://en.wikipedia.org/wiki/File:Flag_of_India.svg India
http://en.wikipedia.org/wiki/File:Flag_of_Indonesia.svg Indonesia
http://en.wikipedia.org/wiki/File:Flag_of_Italy.svg Italy
http://en.wikipedia.org/wiki/File:Flag_of_Japan.svg Japan
http://en.wikipedia.org/wiki/File:Flag_of_Mexico.svg Mexico
http://en.wikipedia.org/wiki/File:Flag_of_Russia.svg Russia
http://en.wikipedia.org/wiki/File:Flag_of_Saudi_Arabia.svg Saudi Arabia
http://en.wikipedia.org/wiki/File:Flag_of_South_Africa.svg South Africa
http://en.wikipedia.org/wiki/File:Flag_of_South_Korea.svg South Korea
http://en.wikipedia.org/wiki/File:Flag_of_Turkey.svg Turkey
http://en.wikipedia.org/wiki/File:Flag_of_the_United_Kingdom.svg United Kingdom
http://en.wikipedia.org/wiki/File:Flag_of_the_United_States.svg United States

http://en.wikipedia.org/wiki/File:Flag_of_Europe.svg European Union

Agenda:
As hosts, the UK Treasury produced an extended agenda pamphlet proposing the issues to be covered at the London summit:

1. Coordinated macro-economic actions to revive the global economy, stimulate growth and employment - review measures taken and possible further steps
2. Reform and improve financial sector & systems - continue to deliver progress on the Washington Summit action plan
3. Reform international financial institutions (IFIs) - International Monetary Fund (IMF), Financial Stability Forum (FSF) and World Bank

My hope on this summit is at least some show of unity in the face of crisis. The so-called divisions between the US/UK and the European Union on the issue of whether more stimulus or more regulation is the way to move forward scares me. I just hope we do not go back to protectionism. =/

 

[Ben Cousins]

Will Obama even show up? Bush never went to these things. They're gonna be talking about the GEC so it'd be pointless if he doesn't show.

 

[Netto Azure]

Well here it is. I guess it was inevitable that such protests will form. It's Europe after all. =/

Recession rallies G20 protesters

As the global economic downturn gathers pace, police in the UK say protesters are planning in an "unprecedented" way for London's G20 summit next week. But who are those taking to the streets and what do they want?

The coming together of the world's biggest economic powers has always attracted vocal and sometimes violent demonstrations. But this year there are fears anger over the recession could make next week's G20 meeting of the world's most powerful countries the focus for mass protest on a scale not seen for some time.

Lessons from 1933 London summit
Why are countries split?
What will be discussed?

 

[Netto Azure]

Will Obama even show up? Bush never went to these things. They're gonna be talking about the GEC so it'd be pointless if he doesn't show.

Yep Obama is there already. Most G-20 leaders will be there.

Obama sets off on European trip

US President Barack Obama has set off from Washington DC for Europe on his first major foreign trip since taking office in January.
Mr Obama's first stop is London where he is due to attend the G20 summit.

But...France threatens G20 walkout

France will walk away from this week's G20 summit if its demands for stricter financial regulation are not met, the finance minister has told the BBC.
Christine Lagarde told Hardtalk that President Nicolas Sarkozy would not sign any agreement if he felt "the deliverables are not there".
Strengthening financial regulation will be one of the key issues at the G20.
France wants a stronger global financial regulator than the US and the UK would like.

Hay...The French can be quite stubborn no?

 

[Netto Azure]

France demands tougher G20 rules

France and Germany have called for tougher regulation for the world's financial system at the G20 summit.

French President Nicolas Sarkozy, who has threatened to walk out of the meeting, said that new financial regulation was a "non-negotiable goal".

In London's financial district, police and protesters have clashed. A protester died after he collapsed.

Meanwhile, US President Barack Obama and his wife Michelle have met the Queen at Buckingham Palace.

The G20 leaders attended a state dinner at Downing Street, where they began to hammer out a final agreement.

They were served a meal of Welsh lamb, Jersey Royal new potatoes and asparagus cooked by celebrity chef Jamie Oliver.

The formal summit meeting will take place on Thursday in the Excel Centre in London's Docklands.

 

[Valdez]

Obama, Brown predict G20 deal to fight recession

Doggedly optimistic in the face of doubts, U.S. President Barack Obama and British Prime Minister Gordon Brown predicted Thursday's emergency G20 economic summit would produce a significant global deal to tackle the deepening worldwide recession.

Others weren't so sure. France warned on Wednesday that neither it nor Germany would agree to "false compromises" that soft-pedal a need for tougher financial regulation to curb abuses that contributed to the spreading chaos. And outside the carefully scripted meetings, protesters smashed bank windows and pelted police with eggs and fruit.

Thousands surged into London's financial district, blockading the Bank of England and breaking into a branch of the Royal Bank of Scotland. Elsewhere, however, inside the meetings, Obama said differences among the presidents and prime ministers of the Group of 20 rich and emerging countries, were "vastly overstated."

"I am absolutely confident that this meeting will reflect enormous consensus about the need to work in concert to deal with these problems," said Obama, who is under pressure to make a good showing in his first major international appearance.

Prime Minister Stephen Harper, also in London for the summit, said he would urge G20 leaders to "over-act" during deliberations on fixing the global economy.

"Let's assume that we need dramatic action and let's do it," Harper said in an interview with CNN.

With economic chaos spreading, Brown, the host of the summit, predicted agreement on a co-ordinated strategy, including a possible $100 billion fund to finance global trade, tighter financial rules and action to support economic growth and job creation.

G20 leaders are also in general agreement on a plan to double the money available to the International Monetary Fund, to some US$500 billion, to help emerging countries.

Consensus on further measures is by no means clear.

Brown initially trumpeted the gathering as "a new Bretton Woods - a new financial architecture for the years ahead." But the meeting so far bears little similarity to the 1944 New Hampshire conference where the eventual winners of the Second World War gathered to set postwar global monetary and financial order.

Washington has eased off on its push for other governments to pump more money into economic stimulus programs after heavy opposition from European countries, who contend their bigger social safety nets make more spending unnecessary.

Germany and France have instead campaigned for tougher rules to restrain financial market excesses.

That disagreement has lowered expectations for the London summit and weakened confidence in the world's ability to quickly pull out of the downturn.

Global trade is plummeting, protectionism is beginning to make inroads and unemployment is rising.

French leader Nicolas Sarkozy, who had earlier implied he might walk out if key demands on tighter regulation were not met, presented a more conciliatory stance at a joint London news conference with German Chancellor Angela Merkel, saying he had "confidence in Obama."

He still warned, however, that France and Germany would reject "false compromises" and considered concrete steps on tax havens, hedge funds and ratings agencies crucial.

Paris and Berlin want definitive agreements on a crackdown on tax havens and action on other regulatory issues, rather than simple commitments to reform. The summit is also expected to consider lightly regulated hedge funds and how to clear bank balance sheets of shaky securities.

Sarkozy said that "without new regulation there will be no confidence. it's a major non-negotiable objective."

Merkel said both she and Sarkozy had come to London "in a very constructive mood." But she said, "We do not want results that have no impact in practice."

Even free trade remains the subject of potentially bitter dispute.

In their meeting in November, the G20 members vowed to avoid protectionism that could stifle trade. But since then, 17 have acted to pass subsidies to protect their own industries or limit imports, according to the World Bank.

On Wednesday, leaders met in a series of bilateral meetings behind closed doors to try close the gap on key issues. They assembled for a formal dinner Wednesday evening before business meetings on Thursday.

Another growing concern for the conference is the plight of developing countries, amid growing fears that the heavy toll exacted by the global economic crisis on those countries could come with a heavy human and political toll.

UN Secretary General Ban Ki-moon has written to leaders to urge them to approve a $1 trillion stimulus plan for developing countries and urge the G20 countries to back away from damaging anti-trade policies.

It remains to be seen if the leaders will be able to avoid a repeat of the last time that London hosted a world economic summit - the 1933 World Economic Conference that tried to agree to plans to revive the global economy in the midst of the Great Depression.

Many commentators blame the collapse of that gathering - torpedoed in part by the recalcitrance of new President Franklin D. Roosevelt to make agreements that would restrict his freedom to act on the U.S. economy - for the subsequent erection of international trade barriers, continued competitive currency devaluation and rising unemployment.

http://ca.news.yahoo.com/s/capress/090401/world/g20_summit

 

[Netto Azure]

ZOMG!!! G20 leaders seal $1tn global deal
​

Leaders of the world's largest economies have reached an agreement to tackle the global financial crisis with measures worth $1 trillion (£681bn).
To help countries with troubled economies, the International Monetary Fund (IMF) will get extra resources worth up to $750bn.
There will also be sanctions against secretive tax havens and tougher global financial regulation.
And the G20 has committed about $250bn to boost global trade.
The deal was announced shortly before the European stock markets closed and gave leading indexes a significant boost.
London's FTSE 100 index of leading shares ended 4.3% higher. In Paris, the Cac 40 jumped 5.4% and in Frankfurt, the Dax rose 6%.

The Deal
On behalf of the G20, Prime Minister Gordon Brown announced the following steps:
* Bankers' pay and bonuses will be subject to stricter controls
* A new Financial Stability Board will be set up to work with the IMF to ensure co-operation across borders and provide an early warning mechanism for the financial system
* There will be greater regulation of hedge funds and credit ratings agencies
* A common approach to cleaning up banks' toxic assets has been agreed
* The world's poorest countries will receive $100bn extra aid
* G20 countries are already implementing the biggest economic stimulus "the world has ever seen" - an injection of $5tn by the end of next year.

 

[Nekusagi]

The Dow went way up today as a result of this.

*resists the obvious "IT'S OVER EIGHT THOUSAAAAAAND!" joke.*
fuck.

 

[Netto Azure]

US to host next G20 world meeting

The US will host the next G20 summit of world leaders in September, the White House has confirmed.

The meeting will take place in Pittsburgh, Pennsylvania, on Thursday 24 September and Friday 25 September.

April's G20 summit in London announced a $1.1tn (£691bn) rescue plan to help revive the world economy.

The September meeting is expected to monitor the implementation of the plan so far, and decide whether further measures are needed.

We'll see how things go from here...

Also do you think that things are stabilizing somewhat?

 

[Nicoleta01]

Do you mean the economy or the usual insanity of politics? XD

Economy-wise: It's still falling, in my opinion it's another false alarm (people tend to look at the stock market too much); if gas prices go too high for the consumer this summer (there's always a chance), then it'll just prolong everything....I'm thinking the economy is going to come back to semi-normal about spring next year.

 

[Netto Azure]

Economy wise really. I mean I'm not as much afraid as I was a few months ago...even though my Dad got laid off and my mom might divorce him. =/

Maybe all the gloomy economic news has numbed us?

Anyways it's still a buffet of problems politically...it's still insane Politically, Obama's domestic agenda... N.Korea, Pakistan, etc. D:

 

[Nicoleta01]

Sorry to hear about your parents =(
I think the bad news has numbed many people, constant "WE ARE ALL DEAD!"-kind of news isn't good to hear. I do think some people though, are just tuning it out and focusing on the problems at home/work.

Politically stuff will never end lolXD Even little countries are mired in political problems. XD No one person can fix everything, and no one government can fix everything either is my opinion.

 

[JB88]

My condolences, Netto. That's very rough to hear.