19 June 2012

Statement by IMF Lagarde on the G20 leaders' summit in Los Cabos

Ms Lagarde said that the G20 Leaders had kept clearly in their sights the ultimate goal of strong, sustainable and balanced growth, and had reaffirmed their determination to take all necessary policy measures to strengthen demand, support growth, restore confidence, and reduce unemployment.

Ms Christine Lagarde, Managing Director of the International Monetary Fund (IMF), issued the following statement today at the conclusion of the 2012 Group of 20 Leaders Summit in Los Cabos, Mexico: “I would like to thank President Felipe Calderón for hosting the G20 Leaders' Summit in Los Cabos. Because of his commitment to results, and the support of IMF member countries, I am able today to applaud the pledges of 37 countries—including Mexico and 14 other G20 countries—to additional Fund resources. President Calderón was an effective and strong voice in our efforts to create a $456 billion global firewall that puts the IMF in a much better position to help its 188 member countries restore sounder economic and financial conditions worldwide. This outcome also reflects the active role of International Monetary and Financial Committee Chairman, Tharman Shanmugaratnam.“

“Global economic conditions continue to face a range of uncertainties, and confidence must be restored. The G20 Leaders' Declaration in Los Cabos is a step in that direction. We have more work to do before global recovery is assured, but I take away from Los Cabos a sense of convergence that will facilitate the comprehensive and coordinated approach to global economic and financial challenges advocated by the IMF.“

“We all are concerned about Europe, particularly the eurozone. In Los Cabos the seeds of a pan-European recovery plan were planted. This must be recognised. European leaders committed to take all measures necessary to safeguard the integrity and stability of the euro area and break the feedback loop between sovereigns and banks. Their intention to consider concrete steps towards a more integrated financial architecture is important, and I look forward to discussing this further when I visit Europe this week to finalise the IMF’s annual review of the euro area.“

“I am encouraged that the G20 remains committed to reform of global economic governance, and will work with the IMF towards meeting their commitments to implement the 2010 Quota and Governance Reform agreement this year. As the G20 Leaders stated, these reforms are crucial to the IMF’s legitimacy, relevance and effectiveness, and will go a long way towards strengthening the impact of IMF analysis for the benefit of all. In this connection, I also very much welcome that the G20 gave its support to further enhancements to our financial and macro-economic surveillance.“

“I believe we all leave Los Cabos with a clearer common picture of what each needs to do, and a renewed understanding that our actions in the near term can put us on the road to stronger growth, more jobs, and less poverty, in advanced, emerging and developing nations alike.”

Press release

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