The G-20 leaders reaffirmed their commitment to promote trade and cross-border investment as world trade declines for the first time in a quarter-century. The situation is made worse by growing protectionism in some quarters and the withdrawal of trade credit.
The leaders said in their final communiqu' that they would refrain from raising new trade barriers or implementing export restrictions or subsidies through the end of 2010. They also said they would work to minimize the negative impact of domestic policies on trade and investment, and will use public disclosure through the World Trade Organization and other international organizations to shame countries that try to implement protectionist policies.
The $250 billion in trade finance support is designed to help export credit and investment agencies, and multilateral development banks make loans to business interested in selling products overseas. The G-20 said they would ask regulators in their respective countries to relax capital requirements for trade finance.
The G-20 expressed support for concluding the Doha round of global trade talks, which it said could add $150 billion in annual growth to the global economy.
The countries also agreed to cooperate on setting international standards for regulating the financial system to prevent the ripple effects of bad losses infecting banks around the world.
