Brussels, Oct 16: World's drowning finances at last has alerted the riches G8 countries to wake up and take desperate measures. On early Wednesday, Oct 16 G7 and Russia called for a global summit to address the current financial crisis and a revival of world trade talks.
"While our focus now is on the immediate task of stabilizing markets and restoring confidence, changes to the regulatory and institutional regimes for the world's financial sectors are needed to remedy deficiencies exposed by the current crisis," a joint statement from the leaders said. "We look forward to a leaders' meeting with key countries at an appropriate time in the near future to adopt an agenda for reforms to meet the challenges of the 21st century," it read.
The statement also called for a revival of talks in the World Trade Organization, which collapsed in late July following a row between the United States and India.
"We are determined to intensify efforts to bring about a successful conclusion of the WTO negotiations with an ambitious and balanced outcome. We underscore the importance of not turning inward and of continuing efforts to promote trade and investment liberalization," it said.
Signed by the leaders of Britain, Canada, France, Germany, Italy, Japan, Russia, the United States and the European Commission – together known as the G8 – the message endorses a call first launched by French President Nicolas Sarkozy in the United Nations.
On September 23, Sarkozy called for "the great powers of today and tomorrow to come together (to) rebuild a regulated capitalism together."
In the weeks that followed, world leaders echoed the call for a summit of the G8 states and emerging powers such as Brazil, China, India, Mexico and South Africa.
At a meeting with EU counterparts on Wednesday, British Prime Minister Gordon Brown circulated a document setting out his recipe for reforming international financial markets.
Brown's four-point plan involves 'a global early warning system' to prevent future financial crises from spreading and 'globally accepted standards of supervision and regulation', effective 'cross-border supervision' of the world's 30 largest multinationals, and 'cooperation and concerted action' at times of crisis.
Such a proposal should be discussed at an urgent global summit with, among others, heads of state and government from the United States, India and China, Brown said.