Six days are left before the G20 Seoul Summit, where leaders of key economies will gather to discuss global economic issues.
President Lee Myung-bak announced the four main agendas of next week’s G20 summit on November 1: resolving currency disputes, creating a global financial safety net, reform of the International Monetary Fund (IMF) and development for underdeveloped countries.
In his 51st Radio and Internet Address to the nation on Nov. 1, President Lee expressed satisfaction with the results of the G20 Finance and Central Bank Deputies' Meeting & G20 Finance Ministers and Central Bank Governors' Meeting, saying it showed great promise for the success of the G20 Seoul Summit. The G20 Finance Ministers and Central Bank Governors' Meeting was held in Gyeongju, North Gyeongsang Province, on October 23.
| President Lee Myung-bak at a press conference for domestic and foreign journalists covering the G20 Seoul Summit on Nov. 3 |
“The meeting produced good outcomes, thanks to a common understanding that international cooperation is essential for the world economy to continue its recovery and achieve balanced, sustainable growth,” he added.
He also said that world leaders will seek concrete guidelines in order to solve currency disputes and reduce trade imbalances. The proposed currency guidelines are based on the results of the Gyeongju G20 Finance Ministers and Central Bank Governors Meeting.
The president said that the world needs to cooperate to build a strong global financial security network in order to prevent future economic problems. He cited Korea’s experiences in the 1998 financial crisis, when 20,000 firms went bankrupt and more than 1 million people lost their jobs, as an example of overcoming economic difficulty.
President Lee pointed out that the International Monetary Fund has been run mainly by advanced countries in the past. Lee proposed that the IMF should let emerging economies like Korea, China, India and Brazil have a greater say.
Lee further spoke of the need for a new approach to helping develop the economies of poorer nations. He said, “Instead of giving them fish, the international community should teach them how to catch fish, in order to create a fair economic and global community.”
On Nov. 3, President Lee held a press conference with domestic and overseas journalists at Cheong Wa Dae to announce Korea’s continued efforts to achieve concrete outcomes at the upcoming gathering, especially the establishment of a global financial safety network. He also designated development issues as an area of particular concern for Korea. Lee said, “Now is the time for the G20 to translate what has been agreed upon at the previous summits into concrete action.”
One of the proposed ways to strengthen the global financial security is a change in the IMF assistance system, Lee explained to journalists. “We are now living in an era when a crisis in one country immediately affects other countries. Against this backdrop, the IMF assistance system is being reformed to allow it to provide necessary funds to nations as a precautionary measure before a crisis hits,” he said. “This will count as one of the most significant achievements of the upcoming G20 Seoul Summit,” he added.
The president also said that the world needs to adopt concrete action plans to help developing countries stand on their own by fostering growth potential. “Korea will help create action plans on the basis of its own development experiences,” Lee added. He also said that he hopes that developing countries give a sustainable boost to the global economy, contributing to balanced development.
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The G20 Finance and Central Bank Deputies' Meeting & G20 Finance Ministers and Central Bank Governors' Meeting were held in Gyeongju, Gyeongsangbuk-do, on Oct. 23 |
The president praised the G20 summit for evolving from a response to the global financial crisis into “a permanent forum that finds the proper direction and builds a frame to support the world economy.” He also urged the wholehearted support of the country, so that the upcoming G20 will “lay a milestone in the global march for 'Shared Growth, Beyond Crisis.'”
Meanwhile, vice financial ministers from G20 countries will gather in Seoul on Nov. 8 to fine-tune the final draft of the Seoul Declaration, which G20 leaders will adopt at the summit. The draft is expected to contain a “standstill” proposal, anti-protectionism commitment, and support for market-determined exchange rate policies, which were agreed upon at the G20 Finance Ministers and Central Bank Governors' Meeting in Gyeongju.
By Yoon Sojung
Korea.net Staff Writer
