The landmark G-20 summit in Pittsburgh has laid down the ground work for long-term prosperity, US President Barack Obama said today, but warned that the world cannot tolerate "the same old boom-and-bust" economy of the past.
Terming the third round of G-20 Summit in Pittsburgh as a success, Obama said it has achieved an unprecedented level of tangible global economic cooperation even as acting to address the threat posed by climate change.
"We've brought the global economy back from the brink. We laid the groundwork today for long-term prosperity as well," he said at a post-summit press conference, which was attended by leaders of the top 20 economies of the world.
"Here in Pittsburgh we have taken several significant steps forward to secure our recovery and transition to strong, sustainable and balanced economic growth," he underlined.
"At the G-20, we have achieved a level of tangible global economic cooperation that we have never seen before, while also acting to address the threat posed by climate change," he said.
The President said because the global economy is now "fundamentally interconnected", "we need to act together to make sure our recovery creates new jobs and industries, while preventing the kinds of imbalances and abuse that led us into this crisis."
He warned against the "boom-and-bust economy of the past". "Going forward, we cannot tolerate the same old boom-and-bust economy of the past. We can't grow complacent and wait for a crisis to cooperate", he said.
Briefing reporters on the key highlights of the Pittsburgh summit, Obama said the new frame work will allow each of these countries to assess the other's policies, to build consensus on reform and to ensure that global demand supports growth for all.
The G-20 countries, he said also agreed to take concrete steps to move forward with tough new financial regulations so that crisis like this can never happen again.
"Third, we agreed to phase out subsidies for fossil fuels, so that we can transition to a 21st-century energy economy, a historic effort that would ultimately phase out nearly $300 billion in global subsidies," the US leader said as the Summit of leaders of the top 20 economies of the world came to an end.
This reform will increase the energy security, transform economy, and will help combat the threat posed by climate change. "All nations have a responsibility to meet this challenge. And together we have taken a substantial step forward in meeting that responsibility," he underlined.
Finally, Obama said the G-20 countries agreed to reform the system of global economic cooperation and governance. "We can no longer meet the challenges of the 21st century with 20th-century approaches. That's why the G-20 will take the lead in building a new approach to cooperation," the President said.
