G20 members agree on new international financial regulations. Bush warns that protectionism is not a solution

The group of the 20 industrial states and emerging economies has decided to consolidate the cooperation among the members, in order to re-establish the global economic growth and reform the financial system. G20 expects clear suggestions on the regulation, surveillance and the transparency of the markets until March 21, 2009.

The group also demanded an agreement, within the World Trade Organization negotiations, on the liberalization of commercial exchanges, before the end of the year.

The heads of states and governments will meet again on April 30, 2009.

According to an official source, the Group prepares a response to the crisis, designed to avoid the negative effects of the crisis, support the emerging economies and reinstate the economic growth.

According to the same source, the plan will not be coordinated on an international level, instead each state will act according to its interior conditions and its monetary policies.

The main areas in which Economy Ministers will have to act are:

– the decrease of the pro-cyclic character in the regulatory policies;

– specific suggestions for the harmonization of accounting standards;

– strengthening the derived products market and reducing the system risk induced by these instruments;

– revising the wage calculation practices;

– revising the mandate and the and the resources necessary for the international financial institutions.

Russian president Dmitri Medvedev said that the existing financial regulation structures are obsolete and that G20 must assume a complete reform of the global financial system.

US president George W. Bush warned on Saturday that protectionism is not a solution for the crisis.