G20 lays foundation for recovery, but follow-up key: Zoellick

WASHINGTON: World Bank Chief Robert Zoellick hailed summit of world leaders for working to "lay a productive foundation" for recovery but warned that the financial crisis will not be solved if poorer nations are "left out in the cold."

"This summit of G20 leaders and the G20 meeting of finance ministers last weekend have begun to lay a productive foundation of discussion, input, and agreement," Zoellick said on Saturday as leaders of the Group of 20 largest economies agreed on an action plan for restoring the financial system and restoring growth.

But "what matters now are the follow up actions. People are looking to leaders for a global, coordinated and fast response," he said, stressing the need for "starting fiscal stimulus" plans such as China's recent $580-billion package.



The World Bank president thanked the G20 leaders -- whose nations represent some 85 per cent of the global economy -- for committing to honour their pledges for overseas aid, and said it was a critical step forward for the economic giants to be sitting down with leaders from rising economic powers such as Brazil, China and India.

"But the poorest developing countries must not be left out in the cold. We will not solve this crisis, or put in place sustainable long-term solutions by accepting a two-tier world," said Zoellick, who attended the summit.

"If we are going to avert a human crisis, we will have to do more."

Last weekend at Sao Paulo's G20 ministerial gathering, Zoellick warned that the global financial system needed to be revamped and that countries worldwide were "moving into a danger zone."