伦敦20国峰会英国辅弼布朗记者招待会

PrimeMinister:

CanIwelcomeyoutothisconferencefollowingourG20summit?Thisisthedaythattheworldcametogethertofightbackagainsttheglobalrecession,notwithwordsbutwithaplanforglobalrecoveryandforreformandwithacleartimetableforitsdelivery.Andourmessagetodayisclearandcertain:webelievethatinthisnewglobalageourprosperityisindivisible.Webelievethatglobalproblemsrequireglobalsolutions.Webelievethatforgrowthtobesustaineditmustbesharedandthattrademustonceagainbecomeanengineofgrowth.

TheoldWashingtonconsensusisover.Todaywehavereachedanewconsensus-thatwetakeglobalactiontogethertodealwiththeproblemsweface;thatwewilldowhatisnecessarytorestoregrowthandjobs;thatwewilltakeessentialactiontorebuildconfidenceandtrustinourfinancialsystem,andtopreventacrisissuchasthiseverhappeningagain.

Therearenoquickfixes,butwiththesixpledgesthatwemaketodaywecanshortentherecessionandwecansavejobs.

Firstofall,forthefirsttimewehavecometogethertosetprinciplestoreformtheglobalbankingsystem.Thisisacomprehensiveprogrammeofmeasuresthatincludesforthefirsttimebringingtheshadowbankingsystem,includinghedgefunds,withintheglobalregulatorynet.Wehaveagreedthatinternationalaccountingstandardswillhavetobeset.Wewillregulatecreditratingagenciesinordertoremovetheirconflictsofinterest.Wehaveagreedthattherewillbeanendtotaxhavensthatdonottransferinformationonrequest.Thebankingsecrecyofthepastmustcometoanend.

TheOrganisationofEconomicCooperationandDevelopmentarethisafternoonpublishingalistoftaxhavensthatarenoncompliantandwhereactionmustimmediatelybetakenandwehaveagreedtoughstandardsandsanctionsforuseagainstthosewhodon’tcomeintolineinthefuture.

Wewillcreateanewfinancialstabilityboardtoensurecooperationacrossfrontiers,tospotriskstotheeconomyandtogetherwiththeInternationalMonetaryFundprovidetheearlywarningmechanismthatthisnewglobaleconomyneeds.

Wewillcompletetheimplementationofinternationalcollegesofsupervisorsoffinancialinstitutionsandwewillimplementnewrulesonpayandbonusesatagloballevelthatreflectactualperformancewithnomorerewardsforfailure.Wewanttoencouragecorporateresponsibilityineverypartoftheworld.

Secondly,wewillcleanupthebankssothattheyincreaselendingtofamiliesandbusinessesandtoenablethiswe’veagreedforthefirsttimeacommonglobal

approachtohowwedealwithimpairedortoxicassets.

Third,we’veagreedtodowhatittakestorestoreglobalgrowthandhastenrecovery.SinceourlastmeetinginWashingtonandaspartofthisprocessfromWashington,G20countrieshaveannouncedandarenowimplementingthelargestmacroeconomicstimulustheworldhasevenseen.Weareinthemiddleofanunprecedentedfiscalexpansionwhichwillbytheendofnextyearamounttoaninjectionof$5trillionintooureconomiesanditwillsaveorcreatemillionsofjobsinaperiodwherewemustcombatunemployment.

Inadditiontothedramaticinterestratecuts,ourcentralbankshavepledgedtomaintainexpansionarypolicies-asWestateinthecommunique,expansionarypoliciesaslongastheyareneeded,usingthefullrangeofoptionsavailabletothem.

Wehavealsoagreedtodayadditionalresourcesof$1trillionthatareavailabletotheworldeconomythroughtheInternationalMonetaryFundandotherinstitutions.Thisincludes$250billionfromspecialdrawingrights,thereservecurrencyoftheIMF,drawingrightsthatwillbeissuedtocountrieswhoarepartoftheInternationalMonetaryFund.ThisisavailabletoallIMFmembers.AndatthesametimewewilltrebletheresourcesoftheInternationalMonetaryFunditselfwithuptoanadditional$500billion.

TogethertheseactionsgiveusconfidencethattheglobaleconomycanreturntotrendgrowthevenfasterthantheInternationalMonetaryFundisnowpredicting.AndwehavetodaycalledontheInternationalMonetaryFundtomonitorourprogresstowardsthisobjectiveandtoreportonwhateverfurtheractionsmaybenecessary.

Fourth,alongsidetheseextraresourceswewillasktheinternationalinstitutionstostrengthentheirindependentsurveillanceoftheworldeconomyandtopromotegrowthandthereductionofpoverty.Weareagreedthatthemandatesoftheseinstitutionsthatwerecreatedin1945mustnowbereformedtomakethemmoreaccountable,morerepresentativeandmoreeffective,andthisincludesgivingemergingmarketsanddevelopingcountriesgreatervoiceandgreaterrepresentation.Andwewillalsoenabletheheadsandseniorstaffoftheseinstitutionstobeappointedonmerit.

Fifth,wearegoingtoactdecisivelytokickstartinternationaltrade.Tradeisthecrucialdriverofgrowthintheglobaleconomy.Weareagreedtoworkurgentlywithleadersdiscussing,meetingandpreparingforaconclusiontotheDohatraderoundandthishasthepotentialtoboosttheglobaleconomysubstantially.

Toaddresswhatisahugeshortfallinfinancefortrade-90%ofalltradedependsonthisfinance-wehavetodayagreedtomakeavailablenotthe$100billionwhichwasoriginallycalledfor,but$250billionoftradefinance.Thiswillbeprovidedover

thenexttwoyearsthroughourexport,creditandinvestmentagenciesandthroughthemultilateraldevelopmentbanks,andthiswillinclude$50billionthroughthenewWorldBankprogrammethatisbeingestablished.

Wewillactalsotomakeourglobalrecoveryfairandmoresustainable.Thistimeoffinancialcrisisisnotimetowalkawayfromourcommitmenttotheworld’spoorest.Sowhenpeoplearesufferingandyetitiswithinourcapacitytohelpwewillnotpassbyontheotherside.WeremainfirmlycommittedtomeetingourMillenniumDevelopmentGoalsandourpledgesonaid.Andtodealwiththiscrisisforthepoorestcountries,wehaveaskedtheInternationalMonetaryFundtobringforwardproposalstousetheproceedsofagreedsalesofgoldtosupportlow-incomecountries.Andso,intotal,wehavereachedagreementsworth$50billionforthepoorestcountriesalongsideoursupportforaWorldBankvulnerabilityfund.

Inmobilisingtheworld’seconomiestofightbackagainstrecessionweareresolvedtoseizetheopportunityofourfiscalstimulusprogrammes,topromotelowcarbongrowth,andtocreatethegreenjobsonwhichourfutureprosperitydepends.Andwehavecommittedtobuildingonthisbyworkingtogethertoseekagreementonapost2012climatechangeregimeattheUNconferenceinCopenhageninDecember.AndwehaveaskedourfinanceministerstocompletethereformsoftheregulatorysystemandwewillmeetagainasG20leaderslaterthisyeartotakestockofprogress.

WhentheWallStreetCrashhappenedin1929ittook15yearsfortheworldtocometogethertorebuildandrenewoureconomies.Thistime,Ithinkpeoplewillagreethatitisdifferent.Wewillnothesitate,aslongaspeoplearelosingtheirjobsandtheirhomes,tomakewhatdifferencewecanbyimprovingtheirprosperity.

Today’sdecisionsofcoursewillnotimmediatelysolvethecrisis,butwehavebeguntheprocessbywhichitwillbesolved.Afewyearsagomeetingssuchasthiscouldnothavehappenedwithsomanydifferentcountriesfromdiversecontinentsinvolved;farlesscouldtherehavebeenanagreementamongstthem.Buttodaythelargestcountriesoftheworldhaveagreedaglobalplanforrecoveryandreform.Thisinvolvesthebiggestinterestratecutsinhistory,thebiggestfiscalstimuluswehaveeverseen,thebiggestincreaseinresourcesinthehistoryofourinternationalinstitutions,with$250billion,moremoneythaneverbefore,fortradefinanceaswell.

Forthefirsttimewehaveacommonapproacharoundtheworldtocleaningupbanks’balancesheetsandrestoringlending.Weareengaginginadeepprocessofreformandrestructuringofourinternationalfinancialsystemfornowandforthefutureandwehavemaintainedourcommitmenttohelptheworld’spoorestandwehaveputmoremoneyasideforthatandalsoforagreenrecovery.Thesearenotjustasinglecollectionofactions.Thisiscollectiveaction,peopleworkingtogetherattheirbest.

Ithinkanewworldorderisemergingandwithitthefoundationsofanewand

progressiveeraofinternationalcooperation.Wehaveresolvedthatfromtodaywewilltogethermanagetheprocessofglobalisationtosecureresponsibilityfromallandfairnesstoallandwe’veagreedthatindoingsowewillbuildamoresustainableandmoreopenandafairerglobalsociety.

Thankyouverymuch.Iamveryhappytoanswerquestionsonthecommunique.

Question:

PrimeMinister,whatdoyousaytoananalysisthatalthoughyouandBarackObamahavebeencentrestageinthisthatperhapsforyourownelectoratesthere’smaybetheleastinthispackagecomparatively?Imean,whatareBritishvotersgoingtogetoutofthisagreement?

PrimeMinister:

Well,ourpriorityrightthroughthisSummithasbeenthejobs,thehomes,thebusinessesofhardworkingfamiliesinthiscountryand,indeed,ineverycountry.Andweknowthatifyoutakeactioninonecountryitcanmakesomedifference,butifcountriesacttogethertheycanmakeamajordifference.Indeed,somepeoplesaythatifweacttogetherwithothercountriesthebenefitoftheactionstakenaretwiceasmuchasifsimplyactingonyourown.Andtheagreementwehavetodaytopushmoneyintotheinternationaleconomysothatitcanrestoreeconomicactivityquicklyandtradeandcommercearoundtheworldisaverysignificantsteptowardsrecovery.

Confidence,firstofall,becausewearesortingouttheproblemsofthebankingsystem,andnotjustatanationallevelbutatagloballeveltodealwithglobalfinancialflows.ConfidencealsofortheBritishpeopleandforpeoplearoundtheworldbecausewearerebuildingtheinternationalfinancialsystemsothatitservesthepeopleratherthan,asonoccasionithas,serveditself.Andconfidencethatwiththisinjectionofnewmoneyintotheworldeconomythatwecanmakeadifferencetotheleveloftrade,thereforethenumberofbusinessesthatcanexpandorstayinbeingorinvestforthefuture.AndIbelievethatthecombinationofourmeasures,butmostofalltheunitythatexistsaroundtheworldtotacklethisrecession,meansthatpeopleinourowncountriescanhavefarmoreconfidenceinboththefinancialsystemandinourhopesforrecovery.

Soourfirstthoughtsarethosepeoplewhoareworriedabouttheirjobsandtheirhomesandourbusinessesandthemeasureswearetakingtogetheraredesignedtoimprovenotonlythechancesofpeoplegettingjobsbuttohelppeoplestayintheirjobs.

Question:

PrimeMinister,alargeamountofmoneyisbeingdevotedtotheIMF.HowmuchofthatisnewmoneyandhowmuchofitiscomingfromChina?AndiftheChinesecontributionisgoingtobesubstantial,whatimplicationisthatgoingtohaveforChinesevotingrightsontheIMF?Thankyou.

PrimeMinister:

Well,IhavetotellyouthatChinahascontributed$40billion.TheEuropeanUnionhascontributed$100billionand,ofcourse,Japanhascontributed$100billion.

Thereisagreementfromothercountriesthattheywillcontributetothenewagreementstoborrow.Thatwillbelaunchedinthenextfewweeks.Thecrisisfacilityisdoubledinsize,thenewagreementtoborrowwillbeworth$500billion,thenontopofthattheIMFisissuingitsspecialdrawingright,whichisprovidingliquiditytotheworldeconomyandeverycountrywillbeawarded,onthebasisoftheirrepresentationandquotaattheIMF,thesedrawingrightssothatwecanprovidemoreliquidityfortheworldeconomy.

Now,inadditiontothat,weareputting$200billionintotradesothatwecankeepmovingthetradeoftheworldforward.Andthebiggestproblemthatmanycompanieshaveisgettingtradefinanceandthatisaproblemwe’readdressingtoday.

ChinaandothercountriesarerighttosaythattherepresentationandthequotasattheInternationalMonetaryFundhavetobechangedtomeetnewtimes.Wehavesetatimetablefordoingthat,butasyoucansee,thecontributorstowhatwearedoingtostimulatetheworldeconomyincludemany,manycountriesaroundtheworld.Question:

PrimeMinister,canyouconfirmthatthe$1trillionthatyouhaveannouncedisnotaneconomicstimulus,it’sloansandguarantees,becauseyoucouldnotagreeafiscalstimulusinthefutureatthissummit?Andwhatdifferencewillthat$1trillionstimulusmaketopeoplewhoareworriedabouttheirjobsandtheirhomes?

PrimeMinister:

Well,I’mpleasedyouaskedthatquestionbecauseitallowsmetosaythattheissuesthatpeoplethoughtdividedusdidnotdivideusatall.Therewassubstantialagreementontheneedforustodowhateverisnecessarytoreturntogrowth.Youwillseethatreflectedinthestrengthofthecommunique.Weareinthemiddleofafiscalstimulus,withannouncementscomingeverydayfromdifferentcountries,thatisworthabout$5trillion,butwealsoagreedwe’dincreasetheamountofmoneyavailabletotheinternationaleconomybyupto$1trillionasaresultofthesedifferentactionswe’retaking.

ThisisnewmoneyprovidedbytheEuropeanUnion,providedbyJapan,providedby

Chinaandtobeprovidedbyothercountries.ThisismoneythatisgeneratedthroughtheInternationalMonetaryFundissuingitsownspecialdrawingrights,andthetradecreditsthatwe’rebringingtogetheraretradecreditsthatcomefromexportcreditagenciesandfromprivatecompaniesaswellaspubliccompaniessothatwecanhaveaboosttoworldtrade.

SoIwouldsaytoyouthis:wewilldowhateverisnecessarytocomethroughthisdifficulttime.That’swhywe’veagreedtomeetagainlaterthisyear.Thelevelofthefiscalstimulusis$5trillionbytheendofnextyear,soitismajorandacceptedbyallcountriesasnecessary.Weactuallysayinthecommuniquethatitisnecessarytodothistopreventtherecessiongettingworse.Butatthesametimewehavemanagedtomobiliseinternationalresourcesthatmeanthatinthecombinationofinterest-ratecuts,thefiscalstimulus,thequantitativeeasingofthecentralbanksandnowthisinternationalinjectionofresourcesmeansthatwecanmoveforwardoureconomiesmuchfaster.

Thisisanexampleoftheworldactuallyworkingtogether.It’sanexampleofususinginternationalinstitutionstomakeadifferencetotheprospectsforrecoveryandthisisinadditiontoandnotanalternativetothefiscalstimulusthathasbeendone,theinjectionofresources,thenewinvestment,thesupportfortheunemployedandforhousingthat’sbeendoneinmostcountriesnowaroundtheworld.

IfyoulookedatthesituationinNovember,peopledidn’tevenknowthattherewouldbeafiscalinjectionofresourcesfromcountries.Now,asaresultofannouncementsoverthepastfewmonthsandcomingeveninthepastfewdaysandprobablyinfuturedays,$5trillionofextraresourcesareinjectedintotheworldeconomy,butontopofthattodaywe’remakingavailableanextratrillion.

Question:

WhatisyourplanningforthenextG20summit?

PrimeMinister:

Theplanistoholdasummitlaterthisyear.Wewillannouncethevenueinafewdays’time.Thedesireistoreviewthedecisionsthatwehavemadetodayandtheirimplementationsothatwemoveforwardasquicklyaspossiblewiththerecoveryoftheeconomy.Andofcourseifwehavefoundthatmoreneedstobedone,wewilltakeactionwhenwemeetagainlaterthisyear.

ButIthinktodaypeoplewillbesurprisedbythescaleofresourcesthattheinternationalcommunityismakingavailable.They’llalso,Ithink,besurprisedandpleasedbytheactionthatwehaveinaunitedwayagreedonbankingsecrecy,onremuneration,onthestructureofbankingforthefuture,ontheuseoftaxhavens,the

useoftheshadowbankingsystem.Allthesethingstheworldwasabletocometogetherforthefirsttimetoagreenewmeasuresthatwillbeimplementedinmanycasesimmediately.

Question:

PrimeMinister,theWorldBankestimatesthatsincetheNovembermeetinginWashington17ofthe20G20membershaveactuallyaddedprotectionistmeasurestothetuneof47implementedmeasuresthatrestricttrade.Doyouanticipateaftertodaywe’regoingtoseemorethanjustacommitmenttofreetradeandactuallyareversalofthoseantifreetrademeasures?

PrimeMinister:

Well,I’mpleasedyou’veaskedthatbecausewedidhaveareportfromPascalLamy,theDirectorGeneraloftheWorldTradeOrganisation,andwhiletherehavebeeninfringementshisviewisthattheyhavenotbeensubstantialinfringementsandheistryingbyhisactionstorolltheseinfringementsback.AndIthinkthemembersweremadeverymuchawarethatactionthatisprotectionistwillbenamedandshamed,ifyoulike,andatthesametime,justtopushtotradeforward,wewillnotonlyresistprotectionistmeasuresbutwewillmakeitpossibleforpeoplewhowanttotrade,wanttoexport,wanttoimport,wantlinesofcreditfortradingtoactuallyhavetheresourcesthataresadlylackingatthemoment.

Sothisinjectionof$250billiontokeeptraderollingforward,creditlinesthatareneededforcompaniesindifferentpartsoftheworldisasubstantialboosttoworldtradeandreallyshowsthatweareanxioustodoeverythingwecantoresistprotectionisttendencies.

Question:

TherehavebeensomegoodeconomicsignsfromAmericalastweek,somegoodeconomicsignsfromBritaintoday,andnowthis.Doyoufeelbullishenoughtonighttosaythatthiscouldbethebeginningoftheendofthecrisis?WithrespectIdonotmeanshoulditbe;Imeandoyoufeelbullishenoughtosaythatitcouldbe?

PrimeMinister:

Thereisnoquickfix,butthereisadeterminationtodowhateverisnecessary.IhavesaidthatthatiswhatIwantedtodoinBritain,butnowwehavegottherestoftheworldsaying:‘Wewilldowhateverisnecessary.’Byinjectingmoreresourcesintotheworldeconomy,wewillcreatemorejobs,wewillensurethatbusinessescaninvestmore,andtheycanexpandratherthancontract,andwewillofcoursebeabletohelphomeownersworriedabouttheirmortgagesandmakesurethatpeoplecanbe

moreconfidentinafinancialsysteminwhichpreviouslytheyhadlosttrust.Wearerestructuringthebankingsystemwithnewprinciples.Remunerationischanginginthebanks.PeoplecanhavemoreconfidencethatnotjustBritainbutthewholeoftherestoftheworldisnowaddressingthesefinancialfailuresthathavecostussomuchdamage,andIbelievethatasaresultofthat,therecoverywhichismuchneededineverypartoftheworldwilladvancefaster.

Question:

MrPrimeMinister,youmentionedearlieratthebeginningofyourspeechthattheeraoftheWashingtonconsensusisover,butcertainlytheeraofWashingtoncurrencyisnot.TheChinesecentralbankactuallyproposedaglobalinternationalreservecurrency.IwaswonderingifthiswasatopicatthediscussionoftheworldleadersattheG20summit,andwhatisyourpersonalviewonsuchapossibility?Shouldweworryaboutadepreciatingdollar,andapossiblydepreciatingeuro?

PrimeMinister:

WearereviewingthefutureoftheInternationalMonetaryFundandtheWorldBank,andtherolethatthatinternationalinstitutionswillplayinthefuture.WiththeG20financeministersIamgoingtobeleadingareviewthatwillreporttothenextmeeting.Ihavetosaythatissuesaboutinternationalcurrencyhavenotledtodetailedproposalsfromanyone.WhatIthinkpeoplewanttoseeisourinternationalinstitutionsabletocomeinandhelpwhencountriesareindifficulty,andmakesurethereismoreconfidenceintheinternationalfinancialsystemasawhole.

So,yes,wewilllookateveryproposalthatcomesforward.Yes,wedonothavedetailedproposalsonthat,butIthinkpeoplearelookingformorefromtheinternationalinstitutionsthattheythemselvescannotonlyprovideresourcesfortheworldeconomy,buttheycaninstilconfidencethattherewillbenomoreinternationalfinancialfailuresinthefuture.

Question:

Wehaveheardagreatdealinthelastfewmonthshowdeceithascausedtheproblemsthatwearenowfacingglobally.AreyoubeingtotallyhonestwiththepeopleoftheworldtosaythattherehasbeengenuineagreementherewhenweknowtherehavebeenanumberofsplitsamongtheG20,andalsothereisaone-size-fits-allagreementfortwentycountrieswhoareatdifferentpointsintheeconomiccycleanddifferentpointsintheglobalrecessionaswell?

PrimeMinister:

Isn’tthatwhatisremarkable,thatyoucanhavecountriesthatwouldneverevenhave

satroundthetableafewyearsagocomingroundatableandcomingtoagreement?Thereasonwehavetomeettogetherandcometoagreementisthatunlikeafewyearsagowhenyoucouldrunnationalfinancialsystemswithoutthinkingaboutwhatwashappeningintherestoftheworld,everybankaffectseveryotherbank,andabadbankinonecountryaffectsgoodbanksineverycountry.Thatiswhywehavetocometogether,sothatwehaverulesandsupervisiononfinancialinstitutionsthatareglobal;wehavethatcross-borderregulationthatisnecessary;wehavetheinternationalregulatorscomingtogethersothatweknowwhatishappeningnotjustinonecontinentbutallcontinents.

IbelievepeoplewillbeencouragedbythefactthatChinaandIndiaandJapanandmanycountriesfromAsia,LatinAmerica,Brazil,andArgentina,Mexico,Africa,SouthAfrica,andtheAfricanUnion,andtheEuropeancountries,Russiaaswell,andofcoursetheUnitedStatesofAmerica,wehaveallbeenabletocometogetherinawaywecouldneverhavedoneevenayearortwoagotodecidequitedetailedproposalsthatwillreshapetheglobalfinancialsystemforalongtime.Imustsay,Ihavebeenproposingsomeofthesefortenyears.Wehaveachievedmoreintenweeksasaresultofpeoplecomingtotermswiththeneedforchangeintheinternationalfinancialsystem.

Question:

Iheardyousayingthatyouaregoingtohelpthepoorestcountries.IwaswonderingifyouaregoingtoprotectaswellcountrieslikeGreecefrombankruptcy,andifyouaregoingtodothat,towhatextent,unlimitedornot?

PrimeMinister:

IthinkitistruetosaythatinterestrateshavebeencomingdownintheEurozonearea,ofwhichGreeceisapart,andthattherehasbeenamajorstimulustobotheconomieswithintheEuroareaandtotradeasaresultofwhathasbeenagreedwithintheEuropeanUnion.IbelievethatthemeasureswearetakingcollectivelyrightacrosstheworldwillactuallyhelpGreece’seconomyaswell,becauseifwecanrestorefinancialconfidenceinourbankingsystem,theneverycountrybenefits.Ifwecaninjectmoreinternationalresourcesintooureconomies,thenthebenefitgoesbeyondtheemergingmarketsordevelopingcountries;itbenefitsusall.

LookattheMarshallPlanaftertheSecondWorldWar.MoneywasspentinAmerica,senttoEuropetoinvestinthereconstructionofEurope.ThebeneficiariesofthatwerenotjusttheEuropeancountrieswhogotthemoney,butthetradethatthenflowedbetweenEuropeandAmerica.Thereisaninjectionofresources,thistimeinternationally,anditwillhaveabenefittoallcountries,whetheryouaredevelopingcountries,emergingmarkets,orwhetheryouareindustrialisedcountrieslikeGreeceisaspartoftheEuropeanUnion.

Question:

PrimeMinister,canyouenvisageBritaineverneedingtousethenewincreasedIMFspecialdrawingrightsschemeparticularly,assomeasyourministershavesaidtoday,asunderthisschemethereshouldnolongerbeastigmaattachedtogoingtotheIMF?Personally,canyousaywhetheryoufeelvindicatedbytheamountofpoliticalcapitalyouhaveputintoarrangingthisG20meetingthisweek?

PrimeMinister:

Ihavejustbeentryingtopersuadepeoplethatifyouhaveaglobalproblem,youhavetogetpeopletogethertodealwithit.Ihavejustbeentryingtogetpeopletogethersothatwecanfocusourattentiononwhatwecando.Ifeelthatworldleadershavecometogether,andthisisnotasetofabstractphilosophicalwordsthatarebeingissued.Thesearedetailedmeasuresthatincludesumsofmoney,includetimetables,includeforexamplewhatnobodycouldhaveexpectedfivemonthsago,anendtothewaytaxhavensworkbyrefusingtotransfertaxinformationtoauthoritieswhoaskforit.Nowwearefindingeverycountryissigninguptothat.Soyes,itisimportant.

TheIMFfacilities-countrieshaveofferedthattheywilltakeUPtheIMFfacility.IthinkMexicohasyesterday,butwearenotproposingtodoso.

Question:

YouhavemadeanimPortantannouncementtodayaboutthefutureoftaxhavensandIwarmlywelcomeit,butthecriteriabeingusedisthatoftheOECD,whichfocusesuPonPrivatetaxevasion.Ofcourse,weknowthattaxavoidancebymajorcorPorationsaroundtheworldisjustasimPortant,andweknowthatthedeveloPingcountriesoftheworldhavesofarbeenexcludedfromtheOECDinformationexchangeProcess.Isthisthestartoftheendoftaxhavens,oristhistheendoftheendoftaxhavens?

PrimeMinister:

Thisisthestartoftheend,becausecountryaftercountryisnowsigninguPtothePrinciPlesthathavebeensetforwardinternationally.ThePrinciPleisthatyouhavetobePreParedtoexchangeinformationabouttaxonrequest.WehadSwitzerland,thenwehadAustria,thenwehadLuxembourg,thenwehadAndorra,thenwehadHongKong,thenwehadSingaPore.InthePastfewdays,wehavehadalotofothercountrieswhohavebeenPreParedtosignuPtothis.NowIthinkyouaregoingtofindothercountrieswantingtojointhisgrouP.

PeoPlewillincreasinglyseethatitisunsafetobeinacountrywhichstillwantsto

declareitselfasataxhaven.Therewillbenoguaranteeaboutthesafetyoftheirfundsiftheyarethere,andiftaxinformationisexchangeduponrequest,asnowthesecountriesareagreeingto,thenthebenefitsthatcomefrombeinginthesecountriesbecomediminishedeveryday.So,Ithinkthatthisisamajorstepforward.

Itisanannouncementtodayofalistofcountriesthatarenotabidingbytherules.Itissayingtherearecountrieswhohavesigneduptothe