APEC on Global Financial Crisis

Lima, 23 November 2008
ADDITIONAL DOCUMENT DELIVERED BY LEADERS RAISED FURTHER MEASURES TO DEAL WITH GLOBAL FINANCIAL CRISIS

• Declaration of the Leaders of APEC on Global Economy demonstrates the commitment with free markets and openness of economy
• Leaders have refrained from raising new barriers to investment or trade in goods and services in the next 12 months

APEC PERU 2008 Leaders Week Fora modified its agenda to the global financial crisis. This became a predominant topic during the Leaders' Meeting, held on November 22 and 23 at the Ministry of Defense Convention Center. That is why we agreed to issue a statement to be attached to the outcome of the Meeting of Leaders.

The Declaration of the Leaders of APEC on the Global Economy addresses the issue of the financial crisis, sharing experiences to address it in Member Economies. "We have already taken urgent and extraordinary actions," states the document, and then to stress that "taking such actions and will continue to work closely coordinated and integrated to implement further actions to help us deal with this crisis."

One of the challenges facing the APEC is to restore confidence in their economies and maintain the region into a path of long-term growth. Therefore, the Lima Declaration proposes concrete measures, such as the regulation and supervision of financial systems, as well as the need to develop more effective standards of corporate administration, taking into account the importance of Corporate Social Responsibility.

Leaders support the Washington Declaration signed by the Group of 20. They also support the Action Plan for the reform of the financial markets proposed at the Summit of the group. The ways to achieve the desired results are, as expressed the Lima Declaration, "a close macroeconomic cooperation, avoid negative surplus, to support emerging economies and developing countries, and reflect and strengthen the International Financial Institutions."

The document highlights the firm conviction of the Leaders that "the principles of free trade and investment rules and open trade will continue to guide global growth, job creation and poverty reduction", it is also important to mention that the Orders for protectionist measures will not be considered, that only the current economic situation will be exacerbated.

Therefore, the Leaders declared: "we will abstain within the next12 months of raising new barriers to investment or trade in goods and services," expressing his commitment to free markets and openness of the economy.

With respect to the role of multilateral development banks, the text notes that “they play a critical role in assisting the economies affected by financial crisis." In that sense, it is recommended to the International Monetary Fund (IMF) to strengthen its collaboration with other financial institutions. It also decides on the Doha Development Agenda, expressing the expectation of the Leaders for an "ambitious and balanced conclusion" for growth and prosperity of the Economies.

Other topics that are in the document are the Bogor Goals, Agenda of Regional Economic Integration and Structural Reform, key points of the APEC Forum that relate to the search for a Free Trade Area within the Asia-Pacific region, and that are affected by international economic.

Also, the Leaders announced that they will not put aside other important challenges such as climate change, energy security, clean development, combating poverty, hunger, disease and terrorism. This way, the document shows that the Forum will dedicate APEC not only to alleviate the crisis but would also be used to continue with other items on its agenda of international economic cooperation within the framework of integrated actions to face the economic situation.