Articles in this document:

 

·          G20 leaders agree to seek WTO progress

·          WTO chief warns trade finance situation deteriorating 

 

 

G20 leaders agree to seek WTO progress

 

SKY News Online - Australia

Updated: 07:13, Sunday November 16, 2008

 

World leaders meeting in Washington have agreed on a final communique pledging to rescue long-floundering WTO negotiations by the end of year.

 

Leaders at G20 summit have vowed to reject protectionism and not to turn inward in times of financial uncertainty.

 

They've agreed to refrain from raising new barriers to investment or trade, imposing new export restrictions or implementing non WTO measures in the next 12 months.

 

The communique says they'll strive to reach agreement this year on a successful conclusion to the WTO's stalled Doha Development Agenda.

 

They're also urging the World Bank and other international lending institutions to support development in poor countries.

 

They've vowed to ensure the IMF and the World Bank have sufficient resources to help overcome the current crisis.

 

The leaders are expected to meet again by the end of April 30 to review progress.

 

skynews.com.au

 

WTO chief warns trade finance situation deteriorating 

 

Editor: Sun

China View

2008-11-13 

 

    GENEVA, Nov. 12 (Xinhua) -- The market for trade finance has severely deteriorated over the last six months, and the situation is likely to deteriorate further in the coming months, WTO chief Pascal Lamy warned on Wednesday.

 

    Reporting to WTO heads of delegations, Lamy said the deteriorating market for trade finance had been confirmed by experts and representatives of private banks, international financial institutions and export credit agencies at a meeting he chaired earlier in the day.

 

    He said two key problems were identified at the meeting: one is a shortage of liquidity to finance trade credits, the second is a general re-assessment of risks caused as much by the financial crisis as by the slowing down of the world economy.

 

    "The world economy is slowing and we are seeing trade decrease. If trade finance is not tackled, we run the risk of further exacerbating this downward spiral," Lamy said.

 

    According to the WTO chief, the market currently estimates the liquidity gap in trade finance at about 25 billion U.S. dollars, which is a sizeable sum.

 

    He said a priority task is to enhance capacity to mitigate the effects of the increased perception of risks and to provide the market with earmarked liquidity for trade finance.

 

    Both the international financial institutions and the export credit agencies should expand their contributions to cover risk and provide additional liquidity under existing instruments, and they should be supported by public authorities, Lamy said.

 

    Lamy also called on WTO members to resist calls for protectionist measures and to promote "further organized, regulated and balanced trade opening" through the Doha Round of global trade talks.

 

    "My sense is that we are not that far away from our objective of concluding the round, even if a number of tough nuts remain to be cracked, notably in the agriculture and industrial modalities, which would be a stepping stone towards a final Doha deal," Lamy said.

 

    "My sense is that we can achieve modalities in these two areas by the year-end. I remain of the view that it is doable," he added.

 

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