After the nuclear deal with the US and special invitee status at G-8 summits of developed nations, India is gearing to play a key role in what some call pointers towards a Bretton Woods II — in the making of a new world financial order as the West-led order shakes in the aftermath of the global credit crisis.
The International Monetary Fund (IMF) and the World Bank were formed in the aftermath of a meeting in Bretton Woods, New Hampshire, in July, 1944.
Finance Minister P.Chidambaram met key economic managers and policy-makers on Wednesday to thrash out the broad contours of India’s strategy in the hurriedly convened summit of the world’s 20 leading economies at Washington next month.
Reserve Bank of India (RBI) governor Duvvuri Subbarao, Securities Exchange Board of India (SEBI) chairman C.B.Bhave, Planning Commission deputy chairperson Montek Singh Ahluwalia and former RBI governor Chakravarti Rangarajan were among those who attended the meeting.
“The finance minister had called this meeting which discussed a number of issues including the position that India must take in the forthcoming G20 meeting,” Subbarao told reporters.
US president George W. Bush has invited leaders of G-20 nations on November 15 to discuss to develop more robust regulatory systems in wake of the crisis triggered by the stunning collapse of several Wall Street icons.
Prime Minister Manmohan Singh will attend the meeting.
Wednesday’s meeting also took place in the backdrop of an industry hunger for adequate credit and calls for interest rate cuts.
Finance Commission Chairman Vijay Kelkar, former RBI Governor Bimal Jalan, Finance Secretary Arun Ramanathan, Department of Economic Affairs Secretary Ashok Chawla, and other officials were present at the meeting.