China’s commerce minister says the outlook for the global economy remains grim despite it having overcome the impact of the 2008 financial crisis.
Gao Hucheng said at a G20 meeting in Shanghai that major economies must lead the way in tackling problems, including slowing trade and sluggish growth.
To boost trade the G20 ministers, from the world’s major economies, agreed to cut trade costs, increase policy co-ordination and enhance financing.
They also approved a trade growth plan.
“We agree that we need to do more to achieve our common objectives for global growth, stability and prosperity,” the G20 ministers said in a statement.
Mr Gao said the international community now expected the G20 to show initiative and leadership in solving economic growth problems.
China’s will host the main G20 summit later this year.
‘Deep effects’
“In the past few years through our shared hard work, the global economy emerged from its previous low and is developing in a good direction,” Mr Gao had said at the meeting held over the weekend.
He added however that “the deep effects of the global financial crisis can still be felt”.
“The revival and growth of the global economy is still lacking in strength,” Mr Gao said. “Low levels of global trade and investment have not recovered to their pre-financial crisis levels.”
Mr Gao did not mention Brexit in his opening remarks at the meeting, but the vote by the UK to leave the EU has added to the global financial uncertainty.
In June the World Bank cut its forecast for the global economy in 2016 from 2.9% to 2.4%.
And in April the International Monetary Fund had cut its forecast to 3.2% from 3.4%.