Dilma calls for a solution to the crisis and cohesion among emerging economies.
In a meeting with representatives from India, Brazil, and South Africa in the South African capital, the president highlighted that the crisis exposes the fragility of the global economic governance of some countries.
The unified approach to confronting the global economic crisis was the main point of the speeches given by the presidents of the three countries that make up the group called IBSA (India, Brazil, and South Africa) at the meeting being held in Pretoria, the South African capital. President Dilma Rousseff highlighted that the crisis exposes the fragility of the global economic governance of some countries and advocated for the participation of developing countries in the search for solutions "to prevent the crisis from becoming uncontrollable and affecting the world."
Dilma stressed the need for a "credible" agreement between European countries and that the three IBSA countries must bring a message of political cohesion and macroeconomic coordination to the G-20 meeting in November. "We cannot remain hostage to outdated visions and empty paradigms devoid of social concern regarding employment and the wealth of the people," the president said.
She added that resolving the sovereign debt problem is a priority. "It is necessary to address the global recession, and the regulation of the financial system, which fuels currency wars and encourages protectionism, is imperative."
The president also defended the pursuit of fiscal consolidation and the soundness of banking systems. "We know that recessionary processes have never led any country out of crises and unemployment. We have solid credentials to demand the capacity for new fundamentals for a global financial architecture."
She highlighted the policy adopted in Brazil to combat the economic crisis. "Strengthening the domestic market and implementing fiscally responsible macroeconomic policies are compatible with measures for income distribution and social inclusion."
Refurbishment
Dilma recalled that India, Brazil, and South Africa made rigorous financial regulation and fiscal consolidation prerequisites for the robustness of their economies. According to the president, this legacy should be reflected in the ongoing reform process at the International Monetary Fund (IMF) and the World Bank, granting emerging countries voting power commensurate with their growing weight in the global economy.
Dilma also said that the reforms to multilateral organizations agreed upon in 2009 must be carried out. "The presence of our countries on the Security Council in 2011 showed that we have the credentials to assume a permanent seat on the UN Security Council and provide that body with the legitimacy it lacks."
The president also spoke about the countries' stance regarding the crisis in the Middle East and North Africa. "Much is said about the responsibility to protect, and little is said about the responsibility while protecting. In Syria, we advocate for an immediate end to the repression and encourage national dialogue to achieve a non-violent solution," she stated. Regarding Libya, she recalled that the three countries acted with the certainty that armed interventions do not bring peace nor protect human rights. "They only aggravate conflicts instead of resolving them."
Dilma celebrated the increase in trade between the three countries, which rose from US$16 billion in 2010, and indicated that she expects this trade to reach US$30 million in 2015.