Emerging market economies need a greater voice globally,according to recommendations that will be put forth by five Working Groups,that were set up to examine the financial crisis after the G20 summit in Washington last November.
“Emerging market economies need better representation in standard setting bodies such as the World Bank and the International Monetary Fund,” said Rakesh Mohan,Deputy Governor,Reserve Bank of India and Co-Chair of First Working Group on Regulation and Transparency,on the sidelines of a seminar. Working Groups have been set up to examine integrity of the market,and integrity of the World Bank along with other standard setting bodies.
We need to analyse issues related to incentive and structures and compensation structures. Regulatory failures need to be pinpointed, added Mohan. The findings of the Working Groups will be discussed in a meeting of Finance Ministers and Governors of G-20 in March,before the meeting in April with heads of state.
The issue of reform of the IMF and the World Bank also needs to be looked into,Mohan said. Defending the role of the public sector,Mohan said what Nehru called temples of modern India are still doing well.