G20 ask Europe tackle its debt crisis

G20 issues joint statement

Group of 20 finance ministers and central bank chiefs say they won't provide more funds to the IMF unless Europe makes further progress in tackling its debt crisis.The finance leaders released a joint statement after meeting in Mexico City.The statement says the global economy is gradually recovering, and tensions in financial markets are easing. But there is still considerable risk of another downturn.

The G20 members welcome initiatives taken by eurozone countries in dealing with the credit problems. That's in reference to an additional bailout package for Greece finalized last week.
But the statement adds that the lending capacity of the IMF will depend on how much further progress is made.The G20's statement comes ahead of an EU summit set for later this week. European leaders will debate whether to expand their framework for supporting debt-strapped nations.The statement says the G20 will continue discussing the matter before its next meeting in Washington in April.It also notes the new threat posed by rising crude oil prices due to growing tensions with Iran.

 Bank of Japan Governor Masaaki Shirakawa said the G20 made certain progress on IMF funding. He also urged Europe to carry out further reforms.Speaking to reporters in Mexico City, Shirakawa said that in order to settle the credit concerns, the EU needs to steadily carry out reforms in the 3 areas of economy, fiscal policy, and oversight.