G20 could give $1 trillion stimulus to boost world economy

[Turborama]

Source: The Times (UK)

A new $1 trillion stimulus to the world economy could emerge from the G20 summit in London's Docklands later today, officials say.

It will not be the co-ordinated fiscal injection that Gordon Brown and Barack Obama had been hoping for when the summit was called last November. On that there will be a strong commitment to "do what is necessary" and a timetable for action on top of the $2 trillion boost already announced by governments.

The big surprise today will instead be the sheer scale of the extra sums made available in new loans and other liquidity boosts, particularly to kickstart growth in the emerging markets of China and Latin America.

The Times understands that the money will come in three separate packages.

The first are new lines of credt worth more than $100 billion to encourage countries to trade more.

The second is a possible tripling to $750 billion in the resources held by the International Monetary Fund to rescue struggling economies. The extra money will come from Japan, the EU, China and others.

The third is a one-off allocation of "special drawing rights" that enable countries to swap their own currencies for IMF backed resources.The effect is to give those countries more confidence to deplete their reserves and expand.

Read more: http://www.timesonline.co.uk/tol/news/politics/G20/article6021993.ece

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Hmmm...

[marketcrazy1]

1. ""deplete their reserves""

yup, this is going to end well......................

[tomm2thumbs]

2. You watch, the ones that the most against it will be the first ones in line to ask for some

aka 'the Republican effect' - but in a world environment

[specimenfred1984]

3. IMF, World Bank will create false economic predictions...

charge exorbitant interest on their loans and keep 90% of the money themselves. I could tell you the books I've read and the people I know who worked there but I'd just be called a bunch of names so fuck it.

Stay dumb people, continue to get ripped off, pretend like the trillion dollars offers some kind of hope and when it all fails, be sure to give some criminal bureaucrat the exact same opportunity to rip you off again in the future.

[Romulox]

4. So the US has no money for Detroit, but is pledging billions to "kickstart growth...[in] China?

:puke: