G-20 The London Summit: A Win-Win Outcome

It was just a couple of hours back that the G-20 London Summit was concluded successfully. This global meeting of the top 20 economies is being described as positive step in the path to recovery from the financial meltdown that has griped the whole world. The underlying theme of the summit was the need for concrete measures to revive the global economy which has been reling from an acute recession for a prolonged period. There was a clear consensus on the need for job protection and better regulatory mechanisms for the global financial institutions. 

There were two sides in this summit with different propostitions to tackle this devious and intensely complex problem. On one side we had the Gremans and French who were in favour of far stricter regulatory mechanisms of the banking and financial space and on the other hand was the US proposing more stimulus packages as means of revival. India took an intermediate path with PM Manmohan Singh emphasizing on a mix of both these measures to revive the global economy. 

Protection of jobs was also on the priority list of UK Prime Minister Gordon Brown. There was no clear stand on the protectionism front and its impact on the emerging markets all around the world, though there was several suggestions made by the developing  nations against this idea. IMF and the World Bank were also expanded in order to cater to the needs of growing economies.

The Outcome of the summits were:

1.About $ 1.1 trillion has been promised as a stimulus for the global economy. 

2.About $ 500 billion has been added to the IMF(Internation Monetary Fund)to help it cater to needs of growing economies.

3.There has been a proposal for better regulatory mechanism of the financial institutions around the world. 

4.There is a proposal for more regulations on the Hedge Fund. 

5.There is growing concerns about people loosing their jobs, and the measure to tackle the problem. 

6.For the first time the whole world has come united to tackle the mess that has started in the American financial system.