India on Monday called for wide-ranging reforms in the structure of multilateral financial institutions to step up capital flows for infrastructure investment to developing markets.

“We need to continue our efforts for a comprehensive reform of the international financial institutions to make them more inclusive,” External Affairs Minister S.M. Krishna said during his intervention at the 14th G-15 Summit here. “We need to collectively look at ways and means to promote South-South cooperation,” he added.

“Sustainable recovery of the global economy will depend on several factors, including how the developed economies fare, enhanced investment for infrastructure development, stable capital flows to the developing markets, appropriate macro-economic adjustments and avoiding complacency in the area of financial sector reforms,” he said.

The Group of 15 comprising 17 developing countries from Asia, Africa, and Latin America, aims to foster cooperation and provide input for other international groups.

New chair

The occasion saw the chairmanship of the grouping pass on to Sri Lanka, with its President Mahinda Rajapaksa calling for strong unity among its members which, if complimented by the rich diversity among the members, would help the grouping achieve objectives such as universal access to health care and education.

Mr. Krishna felt the G-15 should be made into an effective platform, not only for South-South cooperation but to define and refine policies in sectors such as trade, money and finance, equitable development, food and energy security and climate change.

India, said Mr. Krishna, was prepared to cooperate with other G-15 members to undertake new projects for deepening and expanding our cooperation. “We need to consolidate ourselves as partners in development, willing to work towards creating a global environment of enhanced understanding and cooperation that is conducive to inclusive and sustainable development,” he observed.

Later, Mr. Krishna had a 25-minute bilateral with his Iranian counterpart, Manouchehr Mottaki, during which both leaders said they were looking forward to the holding of the Joint Commission meeting.

They also exchanged views on the global economy and the financial situation, said Foreign Office spokesperson Vishnu Prakash. Mr. Krishna was assisted by Joint Secretary (Iran, Afghanistan and Pakistan) in the Foreign Office Yash Sinha and Indian Ambassador to Iran Sanjay Singh.

The Foreign Minister also met his Venezuelan counterpart, Nicolas Maduro Moros, and expressed his appreciation for awarding the Carabobo oil block to a consortium led by OVL. Mr. Moros invited Mr. Krishna to visit his country and the invitation was accepted with pleasure, said Mr. Prakash. Mr. Krishna briefly interacted with the Deputy Prime Minister of Belarus and the Indonesian Industry Minister.