The recovery of world economy is still fragile. Therefore, governments of the G 20 should be returned to the already agreed reforms and to implement them, said in a letter circulated to the media leaders of the Coordination Group D 20. The document was signed by U.S. President Barack Obama, Nicolas Sarkozy of France, South Korea’s Lee Myun Bak and Prime Ministers of Canada Stephen Harper and British Garden Brown agency reported Reuters. Our first goal is to return to steady growth and to create conditions for job creation. To achieve this goal, we must create joint strategies and work together to ensure that our budgetary, monetary, credit, foreign exchange, trade and structural measures to keep a strong, sustained and balanced growth, leaders from state government coordination group. Reuters agency notes that this year are scheduled two summit meetings of the G 20. The first is 26 and June 27 in Toronto and the second – in November in Seoul. In his letter, the leaders of the group of most industrialized countries do not talk about policy initiatives that are expected at a meeting in Toronto, but instead invited the governments of the Group to undertake the duties that were agreed at both meetings last year New York and London to introduce stringent regulatory restrictions.
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The French President Nicolas Sarkozy called for a thorough rethinking of capitalism because of the lessons from the financial crisis. In his statement at the World Economic Forum which takes place this week in the Swiss town of Davos, he said the economy needs fundamental change. His comment came after bankers and regulators involved in the forum to miff on the proposal to divide the large banks, which endangers the functioning of the entire financial system, police BBC. The French president said he wanted to restore “moral dimension” of free trade. He warned that unless steps are taken to change this would be an expression of great irresponsibility on the part of the leading figures in politics and economics involved in the international event in the Swiss alpine resort. France supported the banks plan to increase its capital to impose limits on bonuses paid in the banking sector. U.S. President Barack Obama has proposed to reduce the size of large banks, for which purpose they are prohibited to hold hedge funds and impose strict limits on the risk they bear when they trade in financial instruments. The Representatives of the banking sector in Davos, however, have welcomed these proposals cool. Against the backdrop of meager applause Sarkozy noted that governments and companies around the world should not behave as if nothing has happened to the economy over the past three years.
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