ASEM members call for more effective global economic governance

Source: Xinhua (China)
Source type: News Agency
Published on: 05 Oct 2010

BRUSSELS, Oct. 5 (Xinhua) -- ASEM members announced on Tuesday the Brussels Declaration, calling for more effective global economic governance. In the declaration, 48 ASEM members said the economic crisis has exposed the weaknesses in the global economic and financial system and has highlighted the interdependence among the world's economies.

They stressed in order to ensure strong, sustainable and balanced growth and inclusive economies in Asia and in Europe, all ASEM partners have to play a part in addressing economic distortions and weaknesses in policy responses.

ASEM members said they agree that priority should be given to restoring market confidence and preserving recovery momentum, adding that "We welcome the actions taken in Asia to sustain a robust recovery and maintain the momentum towards economic growth while containing inflationary pressures."

In addition, they also recognize the need for financial safety nets to help countries cope with financial volatility and reduce the economic disruptions from sudden swings in capital flows and reaffirm the need to deliver on the projected reforms in the field of financial regulation and supervision.

They said "The lessons from the past have to be learnt and a more efficient, resilient and reliable financial environment must be created. The importance of stronger capital adequacy and liquidity rules is highlighted by the recent agreement reached by regulators and we look forward to its formal adoption."

The participants also confirm their ambition to modernize the governance of the IMF, to improve its credibility, legitimacy and effectiveness and called for resolve to ensure the IMF has the resources it needs to fulfill its mandate.

The 8th Asia-Europe Meeting was hosted in Brussels on Oct. 4-5. The meeting was attended by the heads of states and of governments of 46 Asian and European countries, the President of the European Council, the President of the European Commission and the Secretary-General of ASEAN.

The ASEM, launched in 1996 and meets every two years, groups 48 members, including the European Commission and the ASEAN Secretariat, 28 European countries, including 27 EU member states, and 18 Asian members.

-From Xinhua