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G20 must deliver on agreed reforms: leaders

The steering group consists of future and past hosts of G20 summits which bring together the major industrialised countries and emerging powers such as China, India, Brazil and Indonesia.

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G20 must deliver on agreed reforms: leaders
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The world economic recovery remains fragile and G20 governments need to recommit and deliver on reforms they have already agreed to, G20 steering group leaders said in a letter on Tuesday.

The letter to fellow Group of 20 members was signed by US President Barack Obama, Canadian prime minister Stephen Harper, French president Nicolas Sarkozy, South Korean president Lee Myung-bak and British prime minister Gordon Brown.

"Our first objective is the return to sustained growth and job creation. To fulfil this objective, we need to design cooperative strategies and work together to ensure that our fiscal, monetary, foreign exchange, trade and structural policies are collectively consistent with strong, sustainable and balanced growth," the leaders said.

The steering group consists of future and past hosts of G20 summits which bring together the major industrialised countries and emerging powers such as China, India, Brazil and Indonesia.

Canada is hosting the next meeting in Toronto on June 26-27 while South Korea plays host in November.

The leaders steered clear of policy initiatives ahead of the Toronto meeting, urging instead member governments to meet obligations to which they have already agreed.

"The nascent recovery in the world economy remains fragile. Current strains illustrate the continuing risks to global economic and financial stability," they said.

The Group must ensure international financial systems are strengthened to meet the needs of the global economy and do more than just advocate for trade and against protectionism.

The letter noted that more work was required to restore soundness of some global banks' balance sheets, but did not name any bank.

The leaders made no direct reference to the tricky issue of foreign exchange flexibility, with China continuing to resist US pressure to raise the value of the yuan. 

The leaders also called for action to increase access to diverse, reliable, affordable and clean sources of energy.

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