The G20 closes its work in Shanghai today, Saturday 27 February.
The financial leaders of the G7 (USA, Japan, Germany, France, Great Britain, Italy and Canada) had an informal meeting on Friday, before the start of the second day of work: an exchange of views on the fears of another stop of the global economy. It is learned that the members of the Group put at the center of their attention possible measures against the financial instability linked to the sales on stock lists, the volatility of exchange rates and the weakness of raw material prices.
Brexit potential shock to the economy
The draft of the final press release reported late last night by the Bloomberg agency reads the commitment to growth and flexibility but also the fears for the UK's exit from the euro. An eventual Brexit (Great Britain's exit from the EU following a referendum) – we read – is one of the potential shocks weighing on the world economy.
The G20 is committed to using all monetary, budgetary and structural instruments to support economic growth. “Recent volatility does not reflect the fundamentals of the global economy. We expect the economy to continue growing at a moderate rate in advanced economies, and growth in emerging economies to remain strong,” reads the draft communiqué from the G20 finance ministers and central bank governors. “The global recovery continues, but it remains uncertain and below our ambitions for strong, sustainable and balanced growth.”
Monetary policy will continue to support the economy, but it cannot lead to balanced growth by itself: "We will use the flexibility of budgetary policy". The refugee crisis is a risk to the economy.
