Contact Information: Contact: Jonathan Huneke VP Communications & Public Affairs USCIB (212) 703-5043
NEW YORK, NY--(Marketwire - November 13, 2008) - The United States Council for International
Business (USCIB), which represents America's top global companies,
applauded recent actions by governments attending this weekend's G-20
Summit meeting in Washington to restore confidence in financial markets
worldwide. But it said additional steps might be needed to keep the global
economy out of a deep recession.
"The goal must be to get capital moving once again," said USCIB President
Peter M. Robinson. "Concerted action is essential so companies can get the
money they need to finance everyday operations. The G-20 governments must
work together to make sure the liquidity they have pumped into the system
finds its way to the right targets."
In a statement,
USCIB said the complexity of financial instruments, coupled with a lack of
transparency in some financial sectors, had compounded regulators' work.
But it warned against an overreaction. "Although new regulation may be
needed, it must be targeted, prudent and sensible. By freezing asset
flows, overregulation can do as much damage to the world economy as a weak
regulatory framework."
USCIB also called for the G-20 to support continued convergence of global
financial reporting standards.
Alongside efforts to strengthen capital markets, improve transparency and
promote sensible regulation, USCIB said G-20 countries needed to work
together to keep markets open to international trade and investment.
"There is a real risk that some countries may resort to border measures to
protect their domestic economies. Such policies failed during the Great
Depression and are not likely to be any more effective today."
USCIB called for a renewed effort to conclude the WTO's Doha Round of trade
talks, which have foundered after seven years of negotiations. It said
success in the trade round would not be possible without the full
participation of all key players. The statement also objected to calls by
some countries to restrict investment flows or to channel them to certain
industries.
USCIB promotes an open system of global commerce. Its membership includes
more than 300 leading U.S. companies, professional services firms and
associations. As American affiliate of several global business groups,
USCIB provides business views to policy makers and regulatory authorities
worldwide, and works to facilitate international trade. More information
at www.uscib.org
