G20 pledges $1.1 TRILLION to boost dying economy !

The leaders of the 20 greatest economic powers of the earth reached a historic agreement today at the G20 summit in London. A staggering $1.1 trillion was pledged to fight the severe recession the world is going through presently.

The International Monetary Fund (IMF) will have access to funds to the tune of $750 billion nearly tripling the amount that was previously sanctioned. Tougher financial regulations and $250 billion to boost world trade were some of the other measures discussed and agreed upon.

President Obama said that this could be a "turning point" in the road to recovery."By any measure the London summit was historic. It was historic because of the size and the scope of the challenges that we face and because of the timeliness and the magnitude of our response," he said.

The British Prime Minister Gordan Brown stated "This is the day that the world came together to fight back against the global recession, not with words, but with a plan for global recovery and for reform and with a clear timetable for its delivery".

New Funds available :

$500bn for the IMF to lend to struggling economies $250bn to boost world trade

$250bn for a new IMF "overdraft facility" countries can draw on $100bn that international development banks can lend to poorest countries

IMF will raise $6bn from selling gold reserves to increase lending for the poorest countries

Source: BBC