G-20-BRIC 2LST

Mukherjee and his counterparts from Russia, China and
Brazil asserted that this was not the time for
operationalizing an exit strategy, which means that stimulus
packages for boost economies must be continued.

India's finance Minister also said that the country will
lend up to USD 10 billion to the International Monetary Fund
(IMF) to make funds available to nations in need. It will not
load the government and will not stretch its resources,
already hit by a slowing economy.

India said such bilateral financing are only a "temporary
bridge" and the IMF should reform the quota process in favour
of emerging and developing countries.

Mukherjee told reporters that "what is needed now is
reform of international financial institutions taking into
account the ground reality".

"The reform of international financial institution is
crucial to insure a stable and balanced global economy. For
the IMF and the World Bank Group, the main governance problem,
which severely undermine their legitimacy, is the unfair
distribution of quotas, shares and voting power," he said.

Priority should be given to substantial shift of quotas
and shares in favour of developing countries, he added.
"The big countries proposed setting up of a target for
that shift of order of 7 per cent in the IMF and 6 per cent in
the World Bank group so as to reach an equitable distribution
of voting power between advanced and developing countries."

"This would lead the overall share of emerging market and
developing countries in the IMF and World Bank to correspond
roughly to their share in the world GDP," Mukherjee said. PTI