Emerging economies want more say

Brazil, Russia, India and China call for "more diversified" global monetary system.

    The global financial meltdown has caused concern about the strength of the dollar [Reuters]

    "The emerging and developing economies must have a greater voice and representation in international financial institutions," a joint communique said.

    "We also believe that there is a strong need for a stable, predictable and more diversified international monetary system," it said.

    Dollar pressure

    Medvedev's comments that "the existing set of reserve currencies, including the US dollar, have failed to perform their functions" contributed to the dollar's slide across the board on Tuesday.

    China, which holds nearly $2 trillion in foreign currency reserves, suggested in March that the dollar could be replaced as the world's main reserve currency, but it was silent on Tuesday, suggesting that there is little unity on any potential challenge to the dollar.

    And Medvedev's chief economic aide, Arkady Dvorkovich, emphasised that Moscow did not want to see a sudden plunge in the dollar's value.

    "There is an understanding that the last thing we need now is turmoil on financial markets," Dvorkovich said. 

    "No one wants to ruin the dollar, including us."

    The Bric term was coined by Goldman Sachs economist Jim O'Neill in 2001 to describe the growing power of emerging market economies.

    Tuesday's summit was an attempt to give the grouping a bigger political voice. The four nations account for 15 per cent of the $60.7 trillion global economy.

    Goldman Sachs has predicted that in 20 years time they could together dwarf the G7 group of industrial nations and that China will overtake the US as world's largest economy.

    SOURCE: Agencies


    YOU MIGHT ALSO LIKE

    Cricket World Cup 2019 Quiz: How many runs can you score?

    Cricket World Cup 2019 Quiz: How many runs can you score?

    Pick your team and answer as many correct questions in three minutes.

    Visualising every Saudi coalition air raid on Yemen

    Visualising every Saudi coalition air raid on Yemen

    Since March 2015, Saudi Arabia and a coalition of Arab states have launched more than 19,278 air raids across Yemen.

    Remembering Chernobyl

    Remembering Chernobyl

    The fallout from the Chernobyl nuclear power plant explosion remains as politicised as ever, 28 years on.