NOTE: President Obama and his Treasury Department are busy pushing positive action around the globe to jump start economic activity …
“The United States will promote a race to the top, not to the bottom.”
The G-20 should come together cooperatively to agree on a broad framework of reforms to raise standards globally:
- We must ensure that all systemically significant financial institutions that operate globally are subject to strong standards of supervision and regulation.
- We should exercise effective oversight of markets critical to the functioning of the financial system, such as derivatives.
- We need to put in place a stronger framework of capital requirements that provides better protection against future crises and ensures financial institutions can build up capital in good times and draw capital down as a buffer in bad times.
- We must strengthen cooperation to fight money laundering and terrorist financing and to crack down on those who use offshore tax havens to escape paying their share of taxes.
- We need to have a standing cooperative framework for actions in a crisis to provide better tools for crisis resolution that keep pace with the changes in the international financial system.