Here’s an abridged version of the G20 communique following the two-day meeting of finance ministers and central bank governors in Cairns.
G20 FINANCE MINISTERS’ COMMUNIQUE
1 – Finance ministers from the world’s richest countries agree the world economy needs strong sustainable growth. The global economy still faces persistent weakness in demand, and supply side constraints hamper growth.
2 – Chief amongst our response is our Sydney declaration to develop measures that aim to lift our collective GDP by more than two per cent by 2018. We have developed a set of new concrete measures that will facilitate growth, increase and foster better quality investment, lift employment and participation, enhance trade and promote competition. Preliminary analysis by the IMF-OECD indicates these measures will lift our collective GDP by an additional 1.8 per cent through 2018, including from important positive spillovers.
3 – Monetary policy in advanced economies continue to support the economic recovery, and should address in a timely manner, deflationary pressures where needed, consistent with central banks’ mandates.
4 – We will continue to implement our fiscal strategies flexibly to take into account a near-term economic conditions, so as to support economic growth and job creation, while putting debt as a share of GDP on a sustainable path.
5 – Investment is critical to boosting demand and lifting growth. Today we have agreed to a Global Infrastructure Initiative to increase quality investment, particularly in infrastructure. The initiative will seek to implement the multi-year infrastructure agenda, including through developing a knowledge sharing platform, addressing data gaps and developing a consolidated database of infrastructure projects, connected to national databases, to help match potential investors with projects.
6 – For the Brisbane Summit, work is underway on a plan that will increase consistency in banks’ application of the strengthened Basel III rules on capital. We have identified global banks and insurers that are so large, complex and interconnected that their failure could cause significant economic and financial sector disruption, and potentially result in serious taxpayer losses.
7 – Beyond 2014, it is important that we finalise remaining elements of the policy framework and fully implement agreed financial regulatory reforms, while remaining alert to new risks. We welcome the FSB’s plans, commencing in 2015, to prepare a consolidated annual report on the implementation of the reforms and their effects.
8 – We are strongly committed to a global response to cross-border tax avoidance and evasion so that the tax system supports growth-enhancing fiscal strategies and economic resilience.
9 – IMF quota and governance reform remains a key priority for the G20 and we are committed to maintaining a strong and adequately resourced IMF. We continue to urge the US to ratify the reforms agreed to in 2010 by year-end and reaffirm our Leaders’ agreement in St Petersburg and our agreement in April 2014.
10. We are concerned about the human cost of the Ebola epidemic, and the potentially serious impacts on growth and stability in the affected countries and wider region and we underscore the importance of a coordinated international response.