Global growth, migration, terror to top agenda of G20 summit

"PROBLEM OF INCLUSIVENESS"

The current international financial system is blamed for the 2008 meltdown and other recurrent economic and financial woes in the world.

Ramazan Tas, director of the Ankara-based HESA Economic Research Center, told Xinhua that the global economy may be on the eve of a new crisis which is likely to be triggered by currency wars, interest rate wars and neo-mercantilist trade wars.

He referred to a lack of good global economic governance at root of the problem, criticizing the global economic and financial institutions such as the International Monetary Fund (IMF), the World Bank and the World Trade Organization as "outdated" in handling unending crises, and saying they must be reformed.

Despite repeated calls and promises, the ongoing reform of the global monetary and financial systems for the establishment of a new financial order that is fair, equitable, inclusive and well-managed has not made much headway.

US foot-dragging on the governance reform of the IMF, under which a six-percent shift in quota share to the emerging economies was agreed on in 2010 to reflect the growing and underrepresented influence of emerging economies, has annoyed the G20 and others alike.

"The international financial system has a problem of inclusiveness in terms of how the reform proceeds," remarked Ussal Sahbaz, an analyst with the Economic Policy Research Foundation of Turkey.