G20 -BROWN & LULA AGREEMENT IN BRASILIA

The premier British Minister Gordon Brown and Brazil's President Lula da Silva, agreed last thrusday the creation 100,000 billion dollars fund for financing world trade in the middle of the Global financial crisis, which Lula affirmed the crisis was originated by affluent countries markets, and the poor can not be the ones to pay for their mistakes.
"We can not let it happens, mainly because no negro, indigenous or poor generated this turbulence, but the world’s rich and powerful people, white and blue eyed-people, who knew what was to come before the crisis, and now feigned indifference", Lula stated

Gordon Brown said ,there is a need of injection to the world economy and he will ask at the G20 meeting in April 2 nd , in London, that supports a world finnacial expansion for helping the commerce in all the world wide,

Gordon was received in Brasilia by Lula , this proposasl will be esencial in the recovery world economy plan

Lula defended again the creation of an international finnacial system regulation, referring that is not possible that this happen in a society that one who can enter to a commercial center or an airport is fillmmed and is always under suspected and watched over , and its finnacial system isnt , and is not regulated .

As the largest country in South America, and one of the world's leading developing nations, Brazil will come to the G20 summit in London in the expectation of making its weight felt.

Brazil's President Luiz Inacio Lula da Silva will arrive at the meeting keen to press the case for reform of the world's financial institutions to give developing countries a bigger say

• Global solutions
  President Lula comes to the G20 summit having long argued that the world is facing a "global crisis which requires global solutions".


• In particular, he believes that the answers can only be found if emerging economies such as Brazil and India are given more clout in the world's financial institutions such as the IMF and the World Bank.


• The government still believes that a strong internal market, $200bn (£138bn) in international currency reserves, and a diversity of trading partners will help Brazil weather the worst of this storm.





• Nonetheless the impact of the crisis is being felt, and the official projection for growth this year continues to be more optimistic than that of many economists, who are talking of close to zero growth or even worse.
  "We will grow in 2009 less than we would like, less than we could grow if there was no external crisis," President Lula insisted this month. "But we will grow."



• The president, meanwhile, continues to make the argument that the current difficulties began in rich countries, and they now need to be aware of the impact of their failure on poorer and developing nations.
  He has been vociferous in opposing protectionist policies and is also expected to argue for reform and greater oversight of global financial markets.


• Lula atBrazil is not looking for help for itself


• ,He attacked again to the protectionism which he compared to a drug , if we dont act correctly , will come the recession, unemployment and more inestability Lula said.
• But he said that would be extremely helpful to have more credit for developing countries in general, and specifically more finance for trade between and among developing countries, because this is what has been lacking

• If you take the statistics after the crisis started, the trade between developing countries has been affected and to a large extent not so much because of a fall in demand - there is also a fall in demand - but because of the difficulties with credit." I suppose the leaders will also discuss what they should do in a coordinated way in terms of how they deal with their own economies, by avoiding protectionism for instance, but at the same time stimulating demand.
  "But then you have the structure of the financial institutions and that also has to be changed.

Lula considered the meeting extremely productive and positive

Brown thinks that the G20 Forum has an historical meaning , because the society is waiting from this , if there is a mistake to use this meeting for schedule other meeting will be lost credibilty and the crisis will become deeper ,he and many leaders of the world know that this moment demands politics decisions stronger than the economic decisions that could be taken .

And whether it gets what it wants in London, the G20 gathering will be regarded as another step in a natural evolution in the decision-making process, which involves developing nations taking an increasingly important role on the world stage.