G20 ministers meet amid divisions

Ministers from the G20 group of rich and emerging countries are to meet in England amid growing rifts over how to tackle the worst downturn in decades.




The ministers, joined by central bankers, are to discuss stimulating their economies out of recession.

The US is calling for increased public spending. But some European governments stress the need to change the rules governing financial markets.

They hope to agree on an agenda for the G20 summit of leaders next month.

This weekend's meeting is being held in Horsham, in the southern English county of Sussex.

The US, supported by Britain, wants other governments - especially those in continental Europe - to do more to bring their economies out of recession, says the BBC's business correspondent Mark Gregory.

But European governments have indicated they are unlikely to strain their finances by agreeing to much more spending until they have seen some results from the first round of stimulus programmes already launched, says our correspondent.

German Chancellor Angela Merkel said this week that the issue was not to spend more, but to put in place a system that would help prevent similar crises in future.

UK Chancellor Alistair Darling played down talk of rifts ahead of next month's G20 summit.

"Generally, I think we are in agreement on the issues," Mr Darling told the BBC.

"Of course, if you have 20 people in a room, there will be differences. Each country has to decide what to do to their economies."

The G20 includes the world's biggest industrial and developing countries, making up 85% of the world economy.

Source: BBC NEWS