PREVIEW OF NEXT G20

by RAY FLEMING
GORDON Brown was not to be found in the group photograph of G20 finance ministers who met in London yesterday -- Chancellor of the Exchequer Alistair Darling took centre stage as host -- but the prime minister attended the meeting and spoke at some length. This gathering was a preliminary to the full G20 summit in Pittsburgh, Pennsylvania, later this month at which national leaders will review the progress made in restoring global financial stability since the London G20 meeting in April. There are signs that the global recession is easing slightly and countries such as France, Germany and Japan have declared that their recessions are over and that accordingly they want to think about an exit strategy from the policy of financial stimulus which was one of the main agreements of the London G20 meeting. According to initial reports, Mr Brown warned against taking measures too soon. He said: “There is no cause for, and this is not the time for, economic complacency or over-confidence. The stakes are too high to get these judgements wrong.” His further comment that premature changes “would be an error of historic proportions” may not have been appreciated by France and Germany but what he said is likely to be accepted by the majority of G20 countries including the United States. Less than half of the $5 trillion allocated for financial stimulus in April has been spent so far and it was always intended for use until the end of next year.