This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/8348121.stm
The article has changed 15 times. There is an RSS feed of changes available.
Version 9 | Version 10 |
---|---|
G20 vows to spur fragile growth | G20 vows to spur fragile growth |
(about 1 hour later) | |
Finance ministers from developing and rich countries meeting in Scotland have pledged to keep stimulus measures in place until global recovery is assured. | Finance ministers from developing and rich countries meeting in Scotland have pledged to keep stimulus measures in place until global recovery is assured. |
A statement issued after the G20 meeting says the recovery is "uneven" and remains dependent on support, while unemployment is a "major" concern. | A statement issued after the G20 meeting says the recovery is "uneven" and remains dependent on support, while unemployment is a "major" concern. |
Earlier, British PM Gordon Brown called for a fund for bank bailouts, possibly paid for by a tax on transactions. | Earlier, British PM Gordon Brown called for a fund for bank bailouts, possibly paid for by a tax on transactions. |
But the proposal received a lukewarm response from other G20 countries. | But the proposal received a lukewarm response from other G20 countries. |
After the meeting in St Andrews, US Treasury Secretary Tim Geithner said there was a "very broad consensus that growth remains the dominant policy imperative across our economies". | After the meeting in St Andrews, US Treasury Secretary Tim Geithner said there was a "very broad consensus that growth remains the dominant policy imperative across our economies". |
We agreed to maintain support for the recovery until it is assured Alistair Darling | |
British Chancellor of the Exchequer Alistair Darling said that although the threat of a downturn had receded, it was too early to withdraw emergency support. | |
"There is no one who believes the job is yet done," he said. | "There is no one who believes the job is yet done," he said. |
The G20 statement said: "The recovery is uneven and remains dependent on policy support, and high unemployment is a major concern. | The G20 statement said: "The recovery is uneven and remains dependent on policy support, and high unemployment is a major concern. |
"To restore the global economy and financial system to health, we agreed to maintain support for the recovery until it is assured." | "To restore the global economy and financial system to health, we agreed to maintain support for the recovery until it is assured." |
Climate change ambitions | |
The BBC's Andrew Walker at the meeting says it was overshadowed by a call by the British prime minister for a new "social contract" with banks to make them more responsible to society. | |
Mr Brown said the financial sector was so key that governments had no choice but to step in when it failed. | |
He added: "And it cannot be acceptable that the benefits of success in this sector are reaped by the few but the costs of its failure are borne by all of us." | He added: "And it cannot be acceptable that the benefits of success in this sector are reaped by the few but the costs of its failure are borne by all of us." |
Mr Brown said a global levy on financial transactions was one of the ways to make banks pay, but said the UK would not introduce such a tax unless other countries did so as well. | |
Other options, he said, were an insurance scheme, a global "resolution fund" or a contingent capital arrangement. | Other options, he said, were an insurance scheme, a global "resolution fund" or a contingent capital arrangement. |
The UK has in the past been opposed to transaction levies, known as Tobin taxes, believing they could damage the interests of the City of London. | The UK has in the past been opposed to transaction levies, known as Tobin taxes, believing they could damage the interests of the City of London. |
Our correspondent says the UK proposal has been received politely by the finance ministers - but several made remarks which suggest that other ways of tacking the problem are rather more likely to be adopted. | |
The British Bankers' Association has also cast doubt on the effectiveness of such financial transaction levies. | |
Chief executive Angela Knight said: "[They] don't work as they require perfect or near-perfect global implementation." | Chief executive Angela Knight said: "[They] don't work as they require perfect or near-perfect global implementation." |
The G20 countries also promised to step up efforts to tackle climate change and "work towards an ambitious outcome" at next month's climate conference in Copenhagen. |