Prime Minister Manmohan Singh speaks at G20

WASHINGTON: Following are the salient points made by Prime Minister Manmohan Singh in his speech at the Summit of the Heads of State or Governments of the G-20 countries on Financial Markets and the World Economy:

* The financial crisis has exploded into a systemic crisis.

* The crisis has choked normal credit channels, triggered a worldwide collapse in stock markets around the world.

* The real economy is clearly affected and there is as yet little prospect of an early recovery.

* The combined effect will be to slow down economic growth in developing countries.

* India is experiencing negative impact.

* India's growth rate is expected to slow down to between 7 per cent to 7.5 per cent in the current financial year.

* Failure of regulatory and supervisory mechanisms, inadequate appreciation and management of systemic risks and inadequate transparency in financial institutions caused the crisis.

* New architecture to be designed must include a credible system of multilateral surveillance.

* Need for comprehensive review of the procedures of the IMF and restructuring the representation in the governance levels of the Fund.

* Attention should paid to the many regulatory gaps in the financial system which allowed the development of excess leverage and the risks associated with it.