FACTBOX-G20 language in communiques

Financial leaders from the Group of 20 major economies met in South Korea this week to try to take tackle global economic imbalances and currency tensions that are feeding worries of trade protectionism as the world economy struggles for a smooth recovery from the financial crisis.

The following are excerpts on various topics from G20 statements since November 2009:

GLOBAL ECONOMY:

* Gyeongju, South Korea, Oct. 22-23, 2010

"The global economic recovery continues to advance, albeit in a fragile and uneven way. Growth has been strong in many emerging market economies, but the pace of activity remains modest in many advanced economies. Downside risks remain and are different from country to country and region to region."

* Toronto, Canada, June 26-27, 2010

Unprecedented and globally coordinated fiscal and monetary stimulus is playing a major role in helping to restore private demand and lending. But serious challenges remain. While growth is returning, the recovery is uneven and fragile.

* Busan, South Korea, June 5, 2010

"The global economy continues to recover faster than anticipated, although at an uneven pace across countries and regions. However, the recent volatility in financial markets reminds us that significant challenges remain and underscores the importance of international cooperation."

* Washington D.C., United States, April 23, 2010

"The global recovery has progressed better than previously anticipated largely due to the G20's unprecedented and concerted policy effort."

* St.Andrews, UK, Nov. 7, 2010

Economic and financial conditions have improved following our coordinated response to the crisis. However, the recovery is uneven and remains dependent on policy support, and high unemployment is a major concern.

GLOBAL IMBALANCES, EXCHANGE RATES:

* Gyeongju, South Korea, Oct. 22-23, 2010

"We will move towards more market determined exchange rate systems that reflect underlying economic fundamentals and refrain from competitive devaluation of currencies. Advanced economies, including those with reserve currencies, will be vigilant against excess volatility and disorderly movements in exchange rates.

"We will strengthen multilateral cooperation to promote external sustainability and pursue the full range of policies conducive to reducing excessive imbalances and maintaining current account imbalances at sustainable levels."

* Toronto, Canada, June 26-27, 2010

"We have successfully maintained our strong commitment to resist protectionism.

"Advanced deficit countries should take actions to boost national savings while maintaining open markets and enhancing export competitiveness. Surplus economies will undertake reforms to reduce their reliance on external demand and focus more on domestic sources of growth.

* Busan, South Korea, June 5, 2010

"Within their capacity, countries will expand domestic sources of growth, while maintaining macroeconomic stability. This will help ensure ongoing recovery."

* Washington D.C., United States, April 23, 2010

"Countries who have the capacity should expand domestic sources of growth. This would help cushion a decline in demand from countries that should boost savings and reduce fiscal deficits."

* St.Andrews, UK, Nov. 7, 2009

"We agreed to cooperate and coordinate, taking into account any spillovers caused by our strategies, and consulting and sharing information where possible. To ensure credibility, our plans will be based on prudent assumptions and communicated promptly and transparently."

FINANCIAL REGULATION

* Gyeongju, South Korea, Oct. 22-23, 2010

"We...welcome and commit to fully implement within the agreed timeframe the new bank capital and liquidity framework drawn up by the Basel Committee and the Governors and Heads Of Supervision.

* Toronto, Canada, June 26-27, 2010

"We support reaching agreement at the time of the Seoul Summit on the new capital framework. We agreed that all members will adopt the new standards and these will be phased in over a timeframe that is consistent with sustained recovery and limits market disruption, with the aim of implementation by end-2012."

* Busan, South Korea, June 5, 2010

"It is critical that our banking regulators develop capital and liquidity rules of sufficient rigor to allow our financial firms to withstand future downturns in the global financial system. As we agreed, these rules will be phased in as financial conditions improve and economic recovery is assured, with the aim of implementation by end-2012."

IMF REFORM:

* Gyeongju, South Korea, Oct. 22-23, 2010

We have reached agreement on an ambitious set of proposals to reform the IMF's quota and governance... Key elements include: shifts in quota shares to dynamic EMDCs and to underrepresented countries of over 6 percent, while protecting the voting share of the poorest, which we commit to work to complete by the Annual Meetings in 2012. A doubling of quotas, with a corresponding roll-back of the NAB preserving relative shares, when the quota increase becomes effective.

* Toronto, Canada, June 26-27, 2010

"We have endorsed the important voice reforms agreed by shareholders at the World Bank, which will increase the voting power of developing and transition countries by 4.59 percent since 2008. We underscore our resolve to ensure ratification of the 2008 IMF Quota and Voice Reforms and expansion of the New Arrangements to Borrow."

* Busan, South Korea, June 5, 2010

"We welcomed the agreement on the World Bank's voice reform to increase the voting power of developing and transition countries by 3.13 percent.

* Washington D.C., United States, April 23, 2010

"We urged the IMF to deliver the quota and governance reforms by the November Seoul Summit."

* St.Andrews, UK, Nov. 7, 2009

"We reaffirmed our commitment to: deliver the representation and governance reforms agreed in Pittsburgh and reiterated the deadlines of the 2010 Spring Meetings for the World Bank and January 2011 for the IMF. (Reporting by Vidya Ranganathan; Editing by Ed Lane and Tomasz Janowski)