Delegates are gathering for the G20 meeting in Mexico City. Insiders say that the so-called US fiscal cliff is outweighing Europe’s debt crisis in terms of short-term risks to the global economic output.
Unless the US Congress can reach a deal, 600 billion dollars in cuts and taxes will kick in in January, and could push the US back into recession.
India’s Finance Minister Shri P. Chidambaram wants swift action:
“The U.S. has to find answers to its fiscal cliff. Whoever is elected president on Tuesday would have to work with the U.S. congress and find answers. Europe would have to get its house in order. I don´t think Europe has seen the worst yet. I hope that they find answers and put Europe back on the growth path.”
A draft communique suggests there are elevated risks facing the global economy, including the crisis in Europe and potential problems in Japan. Few expect major agreements with several political heavyweights skipping the meeting.
Wires > News
- 19:37 CET German Protestant bishop wants Islam classes in all state schools
- 19:36 CET Iraqi Sunni politicians reject visit by Iran’s Soleimani to Falluja
- 19:26 CET Pope meets children, says migrants ‘not dangerous, but in danger’
- 19:22 CET Progress on Ukraine reforms can boost case for Russia sanctions -…
- 19:18 CET Italian marine arrives home after four years in custody in India
- 19:12 CET Airbus Helicopters denies gearbox may have caused Norway crash
- 18:55 CET Militants attack ENI pipeline in Nigeria’s Delta – officials
- 13:58 CET Pakistan bans airing of ‘undesired’ contraceptive advertisements