BRIC's pledge $80 billion to IMF

The BRIC countries have pledged $80 billion to the IMF. China is providing $50 billion, India $10 billion, Russia $10 billion and Brazil another $10 billion. The BRIC is bargaining more say in running the Global Economy. The four countries have sought a greater say in the running of the IMF and other international financial institutions such as the World Bank, including a larger share of quotas and voting, said Brazil's Finance Minister Guido Mantega.

Some of the items to that seem to be discussed are :

1. Protectionism remains a real threat to the global economy and should be avoided, both in direct and indirect forms," said a communique by the four countries, collectively referred to as BRIC economies.

2. "We believe governments should work toward prompt and successful conclusion of the World Trade Organisation (WTO) Doha round in a way that ensures an ambitious, comprehensive and balanced outcome," the communique said

3. We propose the setting of a target for that shift of the order of 7 percent in the IMF and 6 percent in the World Bank Group so as to reach an equitable distribution of voting power between advanced and developing countries," the communique said.

"The US position paper has mentioned a figure of five percent, which in any case is very close to the BRIC position. It's virtually the same," said the source, referring to the shift demanded in the voting rights in IMF and the World Bank.

I think that parking all the billions of US dollars held by the BRIC in IMF is in the interest of both the developed and developing countries as it prevents devaluation of the dollars. If the US yielded to the BRIC demands, it would start of the globalization 3.0. Some times, there is a glimmer of hope of equality in the global economy. I wonder why global media or at least BRIC media can't drum up this story and put the people pressure to ensure that it happens for the betterment of all.

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