SYDNEY Feb 22 Setting a higher goal for global
growth is a good idea to try to build momentum in the world
economy, but it should be seen as aspirational rather than a
hard target, Bank of Canada Governor Stephen Poloz said on
Poloz, in Sydney for a meeting Group of 20 finance ministers
and central bank chiefs, also said he hoped the worst of the
volatility that has hammered some major emerging markets this
year had passed.
"What's emerging is a sense that this thing (global economy)
isn't quite ticking over as rapidly as we'd hoped. So I think in
that context it is good to develop, nurture a sense of common
purpose, of aspiration, I think is a good term," he told
Support seems to be growing among the world's top developed
and emerging countries to adopt a target of lifting growth by
0.5 percentage points per year for five years, though there
would not be targets for individual countries.
Another theme ahead of the Sydney meeting has been emerging
markets' view that they have been sideswiped by volatility
caused by the U.S. Federal Reserve's tapering of its stimulus,
and their call for greater policy coordination.
"All things considered, I do think that emerging markets
have managed it reasonably well," Poloz said.
"I'm hopeful that to the extent volatility reflects more
perceptions than reality, that a lot of it has been washed
through. That's my hope."
Poloz said some of the volatility, which hit hard economies
including Brazil and Turkey, reflected domestic policy problems.
Other officials from developed economies have taken a similar
line this week.
"The most important thing here is to acknowledge that we are
all in this together. If significant economies are experiencing
difficulties then world economic growth won't be as good as we
hoped, and we all share in that whether its what we're hoping
for or less," Poloz said.
"We all take into account what's going on out there."