The G20 meeting this week has been a breaking and historic achievment of the world to combat current economic crisis as some leaders described. For Cambodia, a country which is also affected by the downturn, G20 meeting could at least contributed some improvements to the country's current efforts.
More resources to IMF: The world leaders have agreed to add US$ 500 billion to IMF so that the organization could make it available for developing countries who are in the crisis. Cambodia could take this opportunity to continue improving her rural infrasture, sharing growth to remote areas.
As some workers lost their jobs and returned to farming, building more rural roads and irrigation system will improve their livelihoods.
Keeping aid promise: Although most world economic leading countries are facing recessions, they have no plans to cut aid to poorer countries. This is good news for Cambodia, who depends on foreign aid and non-governmental organizations' participations.
No more protectionism: World leaders thought protectionism during the crisis would make the situation worse. Therefore, they will freeze any forms of future trade barriers that will hamper commodity transactions. For Cambodia, it sounds benefitials because the country's farmers have been worst affected by agricultural protectionism in Thailand so far. However, it is still not clear of any mechanism to lift previous protectionism.
More regulations to banking system: The meeting agreed to have an internatinoal financial monitor to make sure that banking system did not fell into the same trap of toxic assets with morgage business. To Cambodia, it is less interesting because the country does not have a vibrant banking system. However, it is a good point to take note to avoid the same banking problem in the future.
More resources to IMF: The world leaders have agreed to add US$ 500 billion to IMF so that the organization could make it available for developing countries who are in the crisis. Cambodia could take this opportunity to continue improving her rural infrasture, sharing growth to remote areas.
As some workers lost their jobs and returned to farming, building more rural roads and irrigation system will improve their livelihoods.
Keeping aid promise: Although most world economic leading countries are facing recessions, they have no plans to cut aid to poorer countries. This is good news for Cambodia, who depends on foreign aid and non-governmental organizations' participations.
No more protectionism: World leaders thought protectionism during the crisis would make the situation worse. Therefore, they will freeze any forms of future trade barriers that will hamper commodity transactions. For Cambodia, it sounds benefitials because the country's farmers have been worst affected by agricultural protectionism in Thailand so far. However, it is still not clear of any mechanism to lift previous protectionism.
More regulations to banking system: The meeting agreed to have an internatinoal financial monitor to make sure that banking system did not fell into the same trap of toxic assets with morgage business. To Cambodia, it is less interesting because the country does not have a vibrant banking system. However, it is a good point to take note to avoid the same banking problem in the future.
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