ANKARA
One cylinder of the global growth engine, investment, is still firing at only half speed, the General-Secretary of the Organization for Economic Co-operation and Development said in a statement on Friday.
The statement was read at the G20/OECD Corporate Governance Forum in Istanbul. Angel Gurria said that despite very low interest rates and cautious monetary policies, global investment is still very weak in OECD countries.
"The volume of fixed investment is still well below the pre-crisis level, and this is especially the case in Europe and in Japan," Gurria said. “This is why investment is rightfully an important priority during Turkey’s G20 presidency."
"Increasing investment will require structural reforms, some not included in the area of corporate government, and we are obviously committed to supporting the Turkish G20 presidency in this regard. I would like to compliment Ali Babacan and the Turkish government for its excellent leadership," he said.
Gurria said that the OECD Principles of Corporate Governance are currently being revised with a view to ensuring sound financial markets that serve the real economy.
The revised principles will be presented at the meeting of G20 Finance Ministers and Central Bank Governors in September 2015 for transmission to the Summit.
Gurria said all countries in the G20 are invited to contribute to the ongoing review of the OECD Corporate Governance Principles.
"The principle update aims at building a stronger backbone for trade and investment which is crucial at the time when global economy continue to grow only at a moderate pace, particularly in Europe," Gurria added.
According to Gurria, by updating the corporate government principles, the OECD will make an important contribution to the investment agenda of the G20.
"It will, particularly, support investment, inclusiveness, and implementation," he added. Those are the three main priorities of the Turkish presidency of the G20.
The G20/OECD Corporate Governance Forum organized by the Capital Markets Board of Turkey in partnership with Bogazici University’s Center for Corporate Governance and the Corporate Governance Association of Turkey, discussed sound corporate organization, safer financial markets, and well-regulated financial systems in emerging markets.
Turkey assumed the G20 presidency last December, vowing to fight global inequality. Around 13,000 people, including a number of world leaders, are expected to attend the G20 Leaders' Summit to be held in Turkey's southwestern coastal province of Antalya in November 2015, according to Turkish officials.
The G20 is an international forum for the governments and Central Bank governors of 20 major economies, including the United States, the United Kingdom, Russia, Japan, Canada, Germany, France, Italy, Turkey, Australia, Brazil, Argentine, India, China, Indonesia, Mexico, Saudi Arabia, South Africa, South Korea and the European Commission, and the executive body of the EU.
