(Reuters) - European Union leaders on Friday agreed their position for a G20 summit on April 2 on how to tackle the global economic downturn.
Below is a summary of the main EU messages to the Group of 20 industrial and developing countries, according to a final draft EU summit conclusions obtained by Reuters.
It calls on the G20 to:
* coordinate fiscal stimulus measures and implement them quickly. Reverse stimuli once the recovery takes hold.
* restore credit flows.
* ensure fiscal measures help longer-term objectives such as improving productivity.
* avoid protectionism. Reach a Doha trade deal.
* include small and medium-sized enterprises in aid schemes, in both the developed and the developing world. Support a multilateral initiative on trade finance.
The IMF should:
* monitor and promote the Action Plan adopted at the G20 Washington summit in November 2008.
* double resources so its members can handle balance of payments problems.
* reform decision procedures and management selection to reflect better the economic weight of member states. The same call goes out to the World Bank
The G20 should:
* strengthen transparency and accountability in the financial sector oversight.
* ensure appropriate regulation or oversight on all financial markets, products and participants that may present a systemic risk, notably private pools of capital, hedge funds and alternative investment vehicles.
* better regulate credit rating agencies.
* make credit derivatives markets more transparent
* fight tax evasion, financial crime, money laundering and terrorism financing. Ensure better cooperation from tax havens.
* adopt sound principles on corporate governance and wages to prevent excessive risk taking.
* improve supervisory cooperation, in particular through the establishing colleges of supervisors for all major cross-border financial institutions before the end of 2009.
* improve regulation relating to banks’ capital, to ensure banks build additional buffers of resources in good times, so that they are better equipped to face bad times.
* improve prudential rules and accounting standards.
The G20 should:
* promote global development
* honour commitments to increase development aid. Reaffirm commitment to deliver on the Millennium Development Goals. Meet aid-for-trade pledges and give duty-free and quota-free access to least developed countries.
* use other official sources of financing, such as export credits, investment guarantees and development-oriented support in research and technology, peace and security, migration and climate change.
* enable Multilateral Development Banks to help counter the effects of the crisis in developing countries.
Reporting by Jan Strupczewski; editing by Marcin Grajewski