News

    G20 Leaders Wrap Up Their Economic Summit

    Multimedia

    <!-- IMAGE -->

    Group of 20 leaders wrapped up their summit Friday with agreements intended to prevent future economic meltdowns, and giving key emerging nations a larger voice in international economic issues.  

    U.S. President Barack Obama said the G20 leaders agreed on concrete steps to prevent another financial meltdown like the current one that has pushed millions of people into unemployment and cost trillions of dollars in lost wealth.

    "Never again let the schemes a reckless few put the world's financial system and our peoples' wellbeing at risk," he said.
     
    He said the agreement generally increases regulation of the financial system, and calls for banks to keep larger reserves to cover losses from bad loans and failed investments.

    He said the leaders crafted procedures to cope with the failure of major financial firms in an orderly way that minimizes damage to the financial system and the public treasury.
     
    And he said there will be new rules governing the way bankers get paid. 

    "We will tie executive pay to long-term performance so that sound decisions are rewarded instead of short-term greed. In short our financial system will be far more secure than the one that failed so dramatically last year," he said.

    European leaders wanted specific limits on the huge bonuses that critics said encouraged bankers to take reckless risks in pursuit of short term profits.
     
    The agreement stops short of that, but calls for complex rules intended to restrain bonus payments.

    Mr. Obama said the economic picture has improved, but there is a long way to go before recovery is complete.

    Many G20 members have been trying to bolster their economies by cutting interest rates and raising spending on public works.  The leaders said the fledgling recovery still needs help, and pledged to continue stimulus efforts for a while.

    And leaders of the world's wealthiest nations, including Britain's Prime Minister Gordon Brown, and the heads of key emerging economies agreed to use the G20 as a forum to debate and decide international economic issues.  "The G20 will now be seen as the premier economic organization for dealing with issues of economic management around the world," he said.

    That is a change from the tradition of putting such issues before the G8, made up of mostly wealthy western countries.

    The change recognizes that develolping nations like India and China are a large and growing share of the world's economic output. Carnegie Mellon University Economics Professor Lester Lave says the economic crisis made the change urgent. 

    "Your people and your economy are being put at risk by nations that are not necessarily thinking about you or their good, so you would want to have more of a say in what is going on," he said.

    The two day summit in Pittsburgh is the third meeting of G20 leaders in less than a year as nations struggle to ease the recession.

    Their efforts did not impress the thousands of protesters who complained that the global economic system is unfair, and that G20 nations do too little to help the poor.  Police made some arrests and used tear gas to cope with some of the demonstrations.

    This forum has been closed.
    Comments
         
    There are no comments in this forum. Be first and add one

    Featured Videos

    Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
    Brexit Vote Plunges Global Markets Into Unchartered Territoryi
    X
    June 24, 2016 9:38 PM
    British voters plunged global markets into unknown territory after they voted Thursday to leave the European Union. The results of the Brexit vote, the term coined to describe the referendum, caught many off guard. Analysts say the resulting volatility could last for weeks, perhaps longer. Mil Arcega reports.
    Video

    Video Brexit Vote Plunges Global Markets Into Unchartered Territory

    British voters plunged global markets into unknown territory after they voted Thursday to leave the European Union. The results of the Brexit vote, the term coined to describe the referendum, caught many off guard. Analysts say the resulting volatility could last for weeks, perhaps longer. Mil Arcega reports.
    Video

    Video Orlando Shooting Changes Debate on Gun Control

    It’s been nearly two weeks since the largest mass shooting ever in the United States. Despite public calls for tighter gun control laws, Congress is at an impasse. Democratic lawmakers resorted to a 1960s civil rights tactic to portray their frustration. VOA’s Carolyn Presutti explains how the Orlando, Florida shooting is changing the debate.
    Video

    Video Tunisian Fishing Town Searches for Jobs, Local Development Solutions

    As the European Union tries to come to grips with its migrant crisis, some newcomers are leaving voluntarily. But those returning to their home countries face an uncertain future.  Five years after Tunisia's revolution, the tiny North African country is struggling with unrest, soaring unemployment and plummeting growth. From the southern Tunisian fishing town of Zarzis, Lisa Bryant takes a look for VOA at a search for local solutions.
    Video

    Video 'American Troops' in Russia Despite Tensions

    Historic battle re-enactment is a niche hobby with a fair number of adherents in Russia where past military victories are played-up by the Kremlin as a show of national strength. But, one group of World War II re-enactors in Moscow has the rare distinction of choosing to play western ally troops. VOA's Daniel Schearf explains.
    Video

    Video Experts: Very Few Killed in US Gun Violence Are Victims of Mass Shootings

    The deadly shooting at a Florida nightclub has reignited the debate in the U.S. over gun control. Although Congress doesn't provide government health agencies funds to study gun violence, public health experts say private research has helped them learn some things about the issue. VOA's Carol Pearson reports.
    Video

    Video Trump Unleashes Broadside Against Clinton to Try to Ease GOP Doubts

    Recent public opinion polls show Republican Donald Trump slipping behind Democrat Hillary Clinton in the presidential election matchup for November. Trump trails her both in fundraising and campaign organization, but he's intensifying his attacks on the former secretary of state. VOA National Correspondent Jim Malone reports.
    Video

    Video Muslim American Mayor Calls for Tolerance

    Syrian-born Mohamed Khairullah describes himself as "an American mayor who happens to be Muslim." As the three-term mayor of Prospect Park, New Jersey, he believes his town of 6,000 is an example of how ethnicity and religious beliefs should not determine a community's leadership. Ramon Taylor has this report from Prospect Park.
    Video

    Video Internal Rifts Over Syria Policy Could Be Headache for Next US President

    With the Obama administration showing little outward enthusiasm for adopting a more robust Syria policy, there is a strong likelihood that the internal discontent expressed by State Department employees will roll over to the next administration. VOA State Department correspondent Pam Dockins reports.
    Video

    Video Senegal to Park Colorful ‘Cars Rapide’ Permanently

    Brightly painted cars rapide are a hallmark of Dakar, offering residents a cheap way to get around the capital city since 1976. But the privately owned minibuses are scheduled to be parked for good in late 2018, as Ricci Shryock reports for VOA.
    Video

    Video Florida Gets $1 Million in Emergency Government Funding for Orlando

    The U.S. government has granted $1 million in emergency funding to the state of Florida to cover the costs linked to the June 12 massacre in Orlando. U.S. Attorney General Loretta Lynch announced the grant Tuesday in Orlando, where she met with survivors of the shooting attack that killed 49 people. Zlatica Hoke reports.
    Video

    Video How to Print Impossible Shapes with Metal

    3-D printing with metals is rapidly becoming more advanced. As printers become more affordable, the industry is partnering with universities to refine processes for manufacturing previously impossible things. A new 3-D printing lab aims to bring the new technology closer to everyday use. VOA's George Putic reports.
    Video

    Video Big Somali Community in Minnesota Observes Muslim Religious Feast

    Ramadan is widely observed in the north central US state of Minnesota, which a large Muslim community calls home. VOA Somali service reporter Mohmud Masadde files this report from Minneapolis, the state's biggest city.

    Special Report

    Adrift The Invisible African Diaspora