Stableness and development

With the financial crisis yet to be reined, mankind is facing such big questions as how to stabilize the international financial system and promote global economic recovery and long-term sound development, to which BRIC offer a batch of solutions.

BRIC Finance Ministers issued a joint communique at the G20 financial ministers' meeting held a fortnight ago.

They believed recapitalizing banks, cleaning up their balance sheets and liquidity provisions to stabilize the financial system are a priority.

BRIC is taking measures to promote domestic demand, to step up information sharing by reserve currencies and policy coordination, and to support intensified regulation of various financial operation.

Besides, BRIC also puts forward some profound viewpoints concerning the reforms on the international monetary system and the strengthening of financial regulation.

Chinese Central Bank Governor Zhou Xiaochuan called for a new super sovereign reserve currency to replace national reserve currencies as the backbone of the global monetary system.

Zhou's idea was echoed by Brazilian President Luiz Inacio Lula da Silva, who pointed out trade between Brazil and Argentina is already settled in local currency, indicating Zhou's proposal has been proved to be realistic.

Similar proposals were also presented by Russian President Dmitry Medvedev, who called for the widening of the reserve currency basket.

Medvedev said the existing currency system has not coped with existing challenges.

If parties concerned can reach an agreement on reforming the system, "in the future we could talk about creating a kind of a super currency," he said.

Fight Protectionism

As financial crisis bites, some American and European nations tend to sell protectionism, which may further blow some crisis-haunted developing countries. For the sake of the developing world, BRIC pledges to fight protectionism.

Indian Prime Minister Manmohan Singh pointed out that while emerging economies should not be blamed for the financial crisis, they turned out to be victims.