NEW DELHI, Sept 4: Stating that a supportive external economic environment was required to revive economic growth, Prime Minister Manmohan Singh, who left for Russia today to attend the G20 summit, blamed the ‘unconventional monetary policies of the developed world for slowdown in the emerging econimies.
“Though there are encouraging signs of growth in industrialised countries, there is also a slowdown in emerging economies, which are facing the adverse impact of significant capital outflows,” Dr Singh said in his statement before leaving for St Petersburg, the venue of the summit.
He said he would emphasise in St Petersburg the need for an orderly exit from the unconventional monetary policies being pursued by the developed world for the past few years, so as to avoid damaging the growth prospects of the developing world.
It was also important that G20 encouraged and promoted policy coordination among major economies in a manner that provides for a broad-based and sustained global economic recovery and growth, he added.
India has been an active participant in this endeavour as co-Chair of the Working Group on the ‘Framework for Strong, Sustainable and Balanced Growth’, said Dr Singh.
The Prime Minister said his emphaisis at the summit would be on ensuring primacy of the development dimension in its deliberations, focus on job creation, promotion of investment in infrastructure as a means of stimulating global growth and creating potential in developing countries to sustain higher growth in the medium term.
The Prime Minister also stressed the need of reform of institutions of global political and economic governance, and expressed happiness that the Russian presidency had paid special attention to these issues in the G20 agenda this year, particularly through a new financing for investment initiative.
“I look forward to constructive discussions and decisions on these issues during the St Petersburg summit,” he said.
Dr Singh pointed out that St Petersburg was also the place where the idea of the BRICS grouping was born in July 2006. As per the practice during the last few G20 summits, an informal meeting of BRICS leaders would be held on the margins of the G20 meeting to exchange views on the agenda of the summit.
This will also provide an opportunity to review progress in the implementation of important decisions taken at the fifth BRICS summit in Durban on March 27, 2013 and review global developments, he said.
The Prime Minister emphasised that the summit was taking place at a time when India had introduced several reform measures and taken steps to strengthen macro-economic stability, stabilise the rupee and create a more investor-friendly environment.
“At the same time, a stable and supportive external economic environment is also required to revive economic growth. The G20 summit, therefore, is an important forum to seek an international climate that is beneficial for all countries,” he said.
“I also look forward to bilateral meetings with other G20 leaders on the margins of the Summit,” he said. (UNI)
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