The Hindu : National : U.K.: role for India, G-20 in handling financial crisis

Online edition of India's National Newspaper
Sunday, Sep 28, 2008
ePaper | Mobile/PDA Version

National

National

U.K.: role for India, G-20 in handling financial crisis

— PHOTO: AFP

FOR NEW INITIATIVE: Prime Minister Manmohan Singh with his British counterpart, Gordon Brown, prior to a meeting in New York on the sidelines of the U.N. General Assembly meeting.

NEW YORK: In a bid to rope in countries like India in tackling the financial meltdown in the U.S., British Premier Gordon Brown has said it cannot be left to the elite G-8 club alone to come out with strategies and wanted the involvement of G-20, which includes developing nations, as well.

With ways to prevent recurrence of the financial crisis high on the agenda of world leaders assembled for the U.N. General Assembly here, the suggestion of Prime Minister Manmohan Singh, an economist-turned-politician, for a new international initiative to bring structural reform in the global financial system got instant support of Mr. Brown.

During their meeting on the margins of the Assembly, Mr. Brown agreed with Dr. Singh that the existing global financial architecture was not robust enough to deal with the international turbulence in financial markets.

Highlighting the need for broader strategies, Mr. Brown said the G-20 will be well-suited to deal with the problem.

Dr. Singh said restoration of financial confidence is the need of the hour for healthy growth of the economy. He said he would be happy to work with Britain and other countries to give his expertise and work on ways to overcome the financial crisis.

Addressing the UNGA session, Dr. Singh himself said there is a need for a new international initiative to bring structural reform in the world’s financial system with more effective regulation and stronger systems of multilateral consultations and surveillance.

The explosion of financial innovation unaccompanied by credible systemic regulation has made the financial system vulnerable.

Mr. Brown and Dr. Singh felt it was high time there was a single monitoring mechanism for a surveillance of the world’s financial system.

Printer friendly page
Send this article to Friends by E-Mail

National