Editorials

Toward financial recovery

(China Daily)
Updated: 2010-04-16 08:19

Editor's note: The duty of BRIC nations is not only to boost world financial recovery, but also to push for the reform of international financial system.

The second summit of the BRIC nations (Brazil, Russia, India and China) will undoubtedly inject new vitality into the world economy and shore up international hopes for its recovery.

In their two-day summit that started on Thursday, state leaders from the four major emerging economies substantially discussed the global economy and financial situation, issues related to the G20 group, reform of the international financial system, climate change and cooperation among themselves.

Closer cooperation among the BRIC nations in trade and other pressing international issues will boost their own interests in economic development and put themselves in a better position to push for the reform of the global financial system.

In recent years, the economic clout of the BRIC nations has become increasingly prominent. With a combined population accounting for 42 percent of the world's total, the four countries contribute to half of global economic growth in terms of purchasing power parity.

As leading countries of emerging economies, the four nations can justifiably make their mark on global financial reform that is crucial in bailing the world out of a major economic downturn.

The financial crisis has laid bare the disadvantages of the global financial system and the governance of international financial organizations. A more unified stance of the BRIC group in reforming the world financial system and financial organizations will contribute to a fairer financial regime and multi-polar world.

The power of the BRIC countries also lies in their common stand on increasing the representation and safeguarding the interests of the world's emerging economies and developing countries in multilateral mechanisms. In this regard, the second summit of the BRIC nations will also add impetus to the fourth summit of the G20 nations scheduled to be held in Canada in June.

(China Daily 04/16/2010 page8)