The Presidential Committee for the G20 Summit Press Release Distribution Date 10AM Tuesday, May 25, 2010

Embargo until Wednesday morning edition, May 26, 2010

G20 Finance Ministers and Central Bank Governors’ Meeting June 4-5, Busan, South Korea

The G20 Finance Ministers and Central Bank Governors Meeting will be held on Friday, June 4 and Saturday, June 5, 2010, at the Westin Chosun Hotel in Haeundae, Busan. Most of the sessions will be held in the Grand Ballroom of the hotel, located on the first floor, while some sessions and a few of the other events—including the press conference—will take place at the Nurimaru APEC House. Attendees will include the Finance Ministers and Central Bank Governors of the G20 nations as well as leaders of international organizations, such as the IMF, WB, FSB, and OECD (see attached for the complete list of attendees). This will be the first G20 Minister-level meeting in Korea and it will focus mainly on preparations for the G20 Summit in Toronto, Canada, June 26-27. Specific topics will include a review of progress on the agenda for the Toronto Summit, and an interim report on the main deliverables expected from the Seoul Summit in November. The G20 Finance and Central Bank Deputies Meeting will also be held at the Westin Chosun, on Thursday June 3 and Friday, June 4.

The G20 Finance Ministers and Central Bank Governors Meeting
Five sessions have been scheduled: 1. Global Economy 2. G20 Framework for Strong, Sustainable, and Balanced Growth 3. Financial Regulatory Reform 4. International Financial Institutions Reform and Global Financial Safety Nets 5. Other issues & Communiqué sign off Global Economy: The first session will be a working dinner for G20 Ministers and Governors only. Following a report by the IMF on the current status of the global economy, there will be a discussion of exit strategies and plans for macroeconomic coordination. The issue of fiscal prudence, now in the spotlight due to the fiscal crisis in Southern Europe, is likely to be a major topic of discussion, along with various other issues regarding the state of the global economy. G20 Framework: The second session will focus on the G20 Framework. Using the alternative policy scenarios that the IMF will present, the members will discuss the basket of policy options for “strong, sustainable, and balanced global economic growth” that is scheduled to be submitted at the June Summit. During this discussion, various international organizations, including the WB, FSB, ILO, and OECD, will present expert opinions on such issues as development gap reduction and financial, labor, and structural reforms. Financial Regulatory Reform: The third session will review progress on financial regulation reform measures implemented to date and discuss the regulatory issues that have resurfaced due to the fiscal crisis in Southern Europe. The focus will be on strengthening prudential regulations (such as capital and liquidity regulations) and preventing moral hazard of systematically important financial institutions (SIFIs). The members will receive a progress report from the FSB and discuss ways to strengthen the interim reviews so that work can proceed according to the timeline established at the Pittsburgh Summit last year (prudential regulations: by the end of this year; SIFI reform: October of this year). On financial sector burden sharing, the members will discuss possible policy options after receiving a progress report from the IMF on its financial burden sharing paper. The aim is to insure that the financial sector pays their fair share of the costs incurred during the financial crisis and to create a source of revenue that can be used to respond to similar crises in the future. Other financial regulatory issues, such as those involving credit rating agencies, hedge funds and the over-the-counter derivatives market, will also be discussed.

IFI Reform and Global FSNs: The discussion on IFI reform will focus mainly on the IMF. The Fund will be encouraged to complete its quota and governance reform to meet the shortened deadline (from January 2011 to November 2010) urged at the Washington G20 Ministers and Governors meeting in April. The reform will include a quota increase of five percent to emerging or under-represented economies and improvements to the composition and size of the executive board. Having witnessed the spillover effects between countries and regions during the crisis, the members will also discuss the need for strengthening IMF surveillance, including its early warning system and bilateral and multilateral monitoring, as crisis prevention measures. This is an issue that Korea is proactively pursuing as a deliverable for the Seoul Summit. On the global financial safety nets system, one of Korea’s main agenda items this year, the members will receive a report on policy options that have been presented by the Experts Group, composed of officials from G20 finance ministries and central banks. They will also discuss the future direction of the Experts Group. Other Issues & Communiqué Sign off: In the last session, agenda items such as fossil fuel subsidies and financial inclusion will be discussed and the communiqué will be adopted. On fossil fuel subsidies, there will be a final review of each country’s plan to phase out and rationalize over the medium term inefficient fossil fuel subsidies before being submitted at the Toronto Summit. The group will also discuss the draft of the joint report on fossil fuel subsidies to be compiled by the IEA, OPEC, OECD and WB.

On financial inclusion, the members will review the general principles for expanding innovative financial services and review the progress of the SME Finance Challenge (best examples of SME financing will be identified and awarded during the Seoul Summit).

G20 Press Conference
After the meeting, South Korean Finance Minister Yoon Jeung-Hyun will hold a press conference from 16:30 to 17:00 (Korean time) outside the Nurimaru APEC House. There he will present the communiqué with the main agreements reached at the meeting. He will then take questions from the press.

Economic Development Conference
In conjunction with the meeting of G20 Finance Ministers and Central Bank Governors, the Presidential Committee for G20 Seoul Summit and the World Bank will co-organize an economic development conference, the “Korea-World Bank High Level Conference on Post-Crisis Growth and Development” on June 4, 2010 at the Paradise Hotel in Busan, Korea. The goal of the conference is to build common ground on development issues, and discuss possible policy coordination, as we prepare to incorporate development issues in the main agenda of the November Seoul Summit. Discussions will cover Korea’s development experience, along with a wide range of development related subjects -including trade, infrastructure, food security, and financial inclusion. As Chairman of the Presidential committee of the G20 Summit, Dr. SaKong, Il will make the opening remarks, outline the goals of the conference, and introduce the development issues to be discussed. In addition, Chairman Sakong, Il will host the roundtable session, intended to formulate concrete development policy suggestions which may be incorporated into the G20 agenda. Attendees will include delegations from the G20 members, international organizations, academics and research institutions. In addition, forty leaders in the development arena will participate. They will include Ernesto Zedillo, former Mexican President; Trevor Manuel, Head of South Africa National Planning Commission; Justin Yifu Lin, World Bank Chief Economist; and Princess Maxima of the Netherlands, UN Secretary General’s Special Advocate for Inclusive Finance. World Bank Managing Director, Ngozi Okonjo-Iweala will attend the conference on behalf of the World Bank President Robert Zoellick. Following the conference, Chairman SaKong, Il will hold a joint press conference with Ngozi Okonjo-Iweala and Ernesto Zedillo. * Should you wish to interview one of our main speakers, please contact InJu Chang, Deputy Director of the Presidential Committee for G20 Summit by Friday, May 28, (Tel. +82 2 398 9605)

※ Attached 1. Schedule for the Busan G20 Ministers and Governors Meeting 2. A list of attendees from the G20 and International Organizations

Attachment # 1

Busan G20 Ministers and Governors Meeting Schedule

Friday June 4




Group Photo


Session 1: Global Economy (working dinner, open discussion, Ministers and Governors only)

Saturday June 5


Session 2: Framework


Session 3: Financial Regulatory Reform


Session 4: IFI Reform & Global FSNs (working lunch)


Session 5: Other Issues & Communiqué sign-off (Fossil fuel subsidies, financial inclusion, etc.)


Press Conference

Attachment #2

Attendees from the G20 and International Organizations

G20 Members Country Finance Ministry Central Bank Sergio Chodos, Director Glenn Stevens, Governor Henrique Meirelles, Governor Mark Carney, Governor Zhou Xiaochean, Governor Jean-Pierre Landau, Deputy Governor Axel Weber, Governor Subbarao Duvvuri, Governor Darmin Nasution, Governor (acting) Mario Draghi, Governor Masaaki Shirakawa, Governor

Argentina Amado Boudou, Minister Australia Brazil Canada China France Germany India Wayne Swan, Minister Guido Mantega, Minister James Flaherty, Minister Xie Xuren, Minister Christine Lagarde, Minister Wolfgang Schauble, Minister Pranab Mukherjee, Minister

Indonesia Sri Indrawati, ex-Minister Italy Japan Mexico Russia Saudi Arabia South Africa South Korea Turkey UK USA EU (EC, ECB) Olli Rehn, EC Commissioner Guilio Tremonti, Minister Naoto Kan, Minister

Ernesto Cordero Arroyo, Minister Agustin Carstens, Governor Dmitry Pankin, Deputy Minister Ibrahim Al-Assaf, Minister Pravin Gordhan, Minister Jeung-Hyun Yoon, Minister Ali Babacan, Deputy Minister George Osborne, Minister Timothy Geithner, Secretary Elena Salgado, Minister (Spain) Jean-Claude Trichet, Governor Sergey Ignatiev, Governor Muhammad Al-Jasser, Governor Gill Marcus, Governor (provisional) Choong-soo Kim, Governor Durmus Yilmaz, Governor Mervyn King, Governor Kevin M. Warsh, Deputy Governor

International Organizations IMF WB OECD FSB IMFC (International Monetary Financial Committee) Dominique Strauss-Kahn, Managing Director Ngozi Okonjo-Iweala, Managing Director Angel Gurria, Secretary General Svein Andresen, Secretary General Youssef Boutros Ghali, Chairman

DC Ahmed Al-Khalifa, Chairman (Development Committee)

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