G-20 leaders to discuss ways to ensure balanced growth

V S Chandrasekhar
Toronto, Jun 26 (PTI) Leaders of the world's developed
and major emerging economies are meeting here on Sunday to
discuss strategies for ensuring a balanced and sustainable
growth, even as India favours calibrated exit strategies and
is opposed to any universal tax to fund bail out of banks.
The meeting comes against the backdrop of an emerging
sovereign debt crisis in some European countries which are
caught in conflicting pulls on continuing the global stimulus
package.
From the Summit in Washington at the height of 2008
financial crisis to the 2009 spring Summit in London when they
decided on a global stimulus package to pull the economy out
of depression, the leaders are now facing conflicting demands
-- from the US against early exit to European demand for heavy
cutting down of government spending to eliminate deficits on
the heels of Euro Zone crisis.
Indian Prime Minister Manmohan Singh, who heads a
high-power delegation to the fourth Summit of G-20, is
expected to put forth the Indian view that it is necessary
that the global economy continue to recover in a stable and
predictable manner. For that there is need for investment and
capital flows as well as an open and rule-based trading system
that does not succumb to protectionist tendencies. MORE