World leaders agree on $1.1 TLN anti-crisis package

In a bid to tackle the global economic crisis and reduce its impact on stability, growth and jobs across the globe, the G-20 heads of state and government summit in London, hosted by British Prime Minister Gordon Brown, yesterday ended with a series of measures by attending leaders to shorten the global recession and save jobs. Accompanied by Deputy Prime Minister Nazim Ekren and State Minister for the Economy Mehmet Simsek, Prime Minister Recep Tayyip Erdogan represented Turkey at the summit. At a press conference on the new measures, Brown said, "There are no quick fixes but we can shorten the recession and save jobs, and prevent a crisis such as this ever happening again. We have reached a new consensus to tackle the crisis together. We will do what is necessary to restore growth and jobs." The leaders agreed to triple their funding for the International Monetary Fund to $750 billion so it can give loans to countries hit by the crisis. They also agreed on a $250 billion financial package to support global trade, hit hard by the crisis. They agreed to transfer $100 to development banks all over the world to enable them to give credit to the poorest countries. Under the measures, the IMF will sell some of its gold reserves to raise more cash to give more loans to poor countries. They pledged to allow "candid, even-handed and independent" surveillance of their economies and financial sectors by the IMF, which will take an increasingly central role in global oversight. A new financial stability board will work with the IMF to identify economic and financial risks and measures needed to address them. They also pledged to strictly regulate and closely supervise large hedge funds, credit rating institutions, pay and bonuses to bankers, and to end banking secrets harming the financial system. Before posing for a group photo along with other leaders at the summit, Erdogan spoke briefly with US President Barack Obama, German Chancellor Angela Merkel, Spanish Premier Jose Luis Rodriguez Zapatero and Dutch Prime Minister Jan Peter Balkanende.