Recognising the risk of economic slowdown and weakening trade posed by protectionism, the G-20 has decided to extend until the end of 2016 its standstill commitment to further progress in removing barriers and impediments to global trade and investment.
In a 27-page declaration adopted at the end of the two-day Summit here last night, the group of 20 industrialised and major emerging economies also reaffirmed its commitment to roll back new protectionist measures.
“With these commitments, we stress the importance of further curbing protectionism through the World Trade Organization,” the G-20 Leaders’ Declaration said.
The G-20 called on all WTO members to show the necessary flexibilities to bridge existing gaps and deliver positive and balanced results at ninth WTO ministerial conference in Bali in December on trade facilitation and some elements of agriculture and development issues.
“This would be a stepping stone to further multilateral trade liberalisation and progress in Doha Development Agenda negotiations, providing new confidence in successful post-Bali negotiations,” the declaration said.
The declaration committed itself to cooperate to ensure that policies implemented to support domestic growth also support global growth and financial stability and to manage their spillovers other countries.
The Summit also shared Prime Minister Manmohan Singh’s views on the need for orderly exit from the monetary stimulus undertaken in the context of 2008 economic crisis.
On problems arising out of the exit from stimulus package, the G-20 leaders said monetary policy will continue to be directed towards domestic price stability and supporting the economic recovery according to mandates of central banks.