The bloc of emerging nations said the G20 must also “strengthen the macroeconomic policy coordination and cooperation among G20 members to avoid negative spill-overs and to achieve strong, sustainable and balanced growth”.
The leaders of Brazil, Russia, India, China and South Africa, met on Sunday on the sidelines of the G20 summit underway in the Turkish town of Antalya.
“They stressed their determination to continue to work together with other G20 members to make continuous contributions to a more rapid and sustainable recovery of the global economy and towards the reduction of potential risks,” the leaders said in a statement issued after their meeting.
They also noted that geopolitical challenges, including the politicisation of economic relations and the introduction of unilateral economic sanctions, continue to beset future prospects for economic growth.
They stressed the need to ensure that trade and economic blocs are consistent with World Trade Organisation (WTO) norms and principles, and contribute to strengthening the multilateral trading system.
They decided to strive to facilitate market interlinkages and an inclusive, rules-based and open world economy.
BRICS leaders also expressed their “deep disappointment” at the lack of progress in modernising international financial institutions, especially on the agreements on the reform of the International Monetary Fund (IMF).
They urged the IMF - in cooperation with its members - to step up efforts in collaborating with the G20 to find solutions that would ultimately make it possible to increase the institution's quota resources and review the distribution of quotas and votes in favour of developing countries and emerging market economies.
“The adoption of the 2010 IMF reforms remains the highest priority for safeguarding the credibility, legitimacy and effectiveness of the IMF and the leaders urge the United States to ratify these reforms as soon as possible,” the statement read.
However, they were also pleased with progress made with regards to the New Development Bank (NDB), which will enhance cooperation with existing and new financing institutions, including the Asian Infrastructure Investment Bank.
The NDB is starting its operating activities and is expected to launch its inaugural projects in the beginning of 2016.
Furthermore, the BRICS Contingent Reserve Arrangement (CRA) has been established and will contribute to the stability of the international financial system in view of the increased volatility of the world financial and economic situation.
The group also underlined the importance of strengthening BRICS strategic partnership guided by the principles of “openness, solidarity, equality, mutual understanding, inclusiveness and mutually beneficial cooperation”.
The group declared their readiness to support China in its upcoming G20 Presidency.
On current affairs, the leaders strongly condemned the abhorrent terror attacks in Paris and reaffirmed their support for the people and government of France and the efforts to bring the perpetrators to justice.
They recommitted to strengthen cooperation among BRICS countries and with other nations in the fight against terrorism. – SAnews.gov.za