Finance ministers and central bankers from the world’s leading economies are in Istanbul for the G20 meeting with a clear aim in mind, to boost economic growth.
The difficulties are exacerbated by the stance of the new Greek government, cheaper oil hitting inflation and growth forecasts and a strong dollar undermining emerging economies.
Angel Gurria the Secretary General of the OECD addressed the meeting: “The pace of reform has slowed down in a majority of the advanced economies in the past two years is not very encouraging.There is this danger that we can move into long-term low growth or pretty flat growth. The imperious need, the urgent need, is to focus on the implementation of the G20 national growth strategies.”
Growth figures for 2015 are at best modest, relying in the main on the state of the US economy.
US Treasury Secretary Jack Lew said that the United States could not be “the sole engine of growth.”
Washington believes that Europe is not doing enough and wants the economically stable Germany to dip into its coffers and spend more cash.
Germany rejects the idea claiming its rising domestic demand and plans to increase investment indicates that Berlin is doing its bit.