Prime Minister Stephen Harper is optimistic that members of the G20 have made a plan of attack for the struggling global economy that will give 'hope' to people worldwide.
"The declaration should give us all hope, and I would hope it would give the markets some reassurance," the prime minister said at a news conference in Washington on Saturday.
The leaders of the world's largest 20 economies met in Washington this weekend to discuss the world financial crisis. On Saturday, they issued a declaration outlining the steps they intend to take to get the global economy back on track.
Some of their agreed-upon resolutions included:
- developing government spending plans to stimulate the economy;
- having more open and better-monitored financial markets;
- developing an early warning system to detect and prevent future economic crises;
- establishing a college of supervisors, to be made up of financial regulators from around the world; and,
- increased liquidity to developing countries who need credit to ensure financial growth.
Harper said there was "a nearly unanimous accord" on the major subjects among the G20 leaders, and that Canada would do its part in upholding its responsibilities in the agreed-upon resolutions.
"We will do what we have to, to contribute to boosting global demand," he said.
The prime minister said the measures won't be easy to implement, but said his Conservative government will chart a course that will keep the big picture in mind.
"There are going to be very tough adjustments that will have very real effects in the Canadian economy but we will continue to be pragmatic and flexible while maintaining good, long-run economic policies," Harper said.
"We will respond in a way that will minimize Canadians' exposure to these problems and maximize our ability to come out of this in a strong position."
While Harper had made it clear that he opposed developing intensive new regulations for the existing banking systems of individual countries, he did favour having peer reviews of the financial rules and regulations in place in each of the G20 countries.
He said he was pleased that this idea had been picked up on in Washington.
"There is an agreement to look at transparent assessments -- independent transparent assessments -- of financial regulatory systems, so that will happen," he said.
"Canada submitted to IMF assessments in the past, and as we told our American friends, we found those very useful in the past ... so that has been recognized in the declaration."
The G20 leaders are scheduled to meet again on April 30.
Each of the participating countries is expected to implement the measures agreed to at the Washington summit by the end of March.
Deficit spending
Harper also left the meetings in Washington with a change of tune when it came to deficit spending -- saying he would spend money if he thought it would help the current economic conditions.
"Look, it there is a worldwide agreement, then we will engage in sufficient stimulus to do our part in carrying global economic demand," he said.
"We will fulfill our part of that agreement."
Liberal finance critic John McCallum was surprised to hear that Harper was willing to take part in deficit spending if it was necessary for economic stimulus.
"Don't forget Mr. Harper was saying during the election campaign: 'No way would we ever go into deficit,'" he told 麻豆影视net on Sunday. "A few days after, that changed."
University of Toronto professor John Kirton told CTV's Question Period on Sunday that the summit in Washington was significant for the way it increased the profile of the G20.
"It certainly was the beginning of an historic process, in which...the centre of global economic and financial governance is now moved from the old G8 to the new G20 form," he said.
McCallum agreed that the Washington meetings demonstrated that the G20 holds much more influence than it previously did.
"It was the first time that the G20 had ever met with the leaders," he said.
"The very fact that the G20 has met and the U.S. has opposed this before is a signal of the importance of China and India and other emerging market economies on the world stage. I think that's a historic occasion."
The G20 leaders are scheduled to meet again on April 30.
Each of the participating countries is expected to implement the measures agreed to at the Washington summit by the end of March.
With files from The Canadian Press
