Darling Renews Calls For Global Financial Unity

UK Chancellor Alistair Darling has made a renewed plea to the world's financial institution to unite in correcting failed banking systems, and fight the ongoing international economic crisis.

Writing in the Wall Street Journal, Mr Darling said: "We need to boost demand through a range of measures: monetary loosening, fiscal stimulus, and restoring bank lending."

He said those steps needed to be implemented quickly and effectively, where measures have already been agreed.

In the opinion piece, the Chancellor suggested consumer demand needed to be boosted.

He also called for the reform of world financial regulations, and said more resources should be put into the International Monetary Fund (IMF).

Mr Darling suggested a strengthened IMF could stop the squeeze on companies shifting to a squeeze on counties.

"Alongside this, we must reform the IMF and the World Bank so that they become more accountable and better able to intervene earlier before problems become deep-seated," he wrote.

Mr Darling said all bases should be covered when it comes to reevaluating regulatory measures.

"All types of risk to consumers, markets and economies need to be covered - including by joining up macroeconomic and financial oversight, opening up tax havens, and promoting transparency."

Early warning systems should be in place to manage risks better, he said.

Banks should also build buffers during prosperous years to ensure they can exist during downturns, according to Mr Darling.

The article was published in the lead up to next month's G20 summit, which will devise a collaborative way forward for the twenty countries amid the economic crisis, and assess the possible effectiveness of further stimulus packages.

(PR/JM)