UK's Brown expects IMF cash pledges at G20 summit
DUBAI (Reuters) - Countries are likely to pledge funds to bolster the International Monetary Fund at a global crisis summit in Washington on November 15, British Prime Minister Gordon Brown said Tuesday. Brown, finishing a four-day trip to Saudi Arabia, Qatar and the United Arab Emirates, wants cash-rich states to give hundreds of billions of dollars to the IMF to boost its fighting fund for countries battling the credit crunch.
His visit precedes a G20 heads of state meeting in Washington which policymakers hope will ultimately result in co-ordinated moves to stabilize the global economy and reform how it is governed to give more say to fast-emerging economies.
"People are willing to work with us to make the changes that are necessary in the international financial order," Brown told reporters.
"When we come to Washington in a few days from now I believe we will see countries come together to make their statements about what they can contribute."
The IMF, which had $201 billion of loanable funds at the end of August, has offered money to Iceland, Ukraine, Hungary and Belarus. But more countries are expected to need help as the credit crisis hits economic activity, raising fears that the IMF may not have enough money to cope with demand.
Saudi Arabia, the world's biggest oil exporter, will attend the meeting in Washington but may want to see significant concessions in return for any assistance.
Qatar said Sunday it was willing to help the international community tackle the financial crisis and Brown said the United Arab Emirates had also given a warm response.
One government source said the seniority and size of Brown's delegation -- which includes ministers and business chiefs from some of Britain's biggest firms -- "could unlock an enormous amount of goodwill in the region."
But Kuwait, which was not a stop on Brown's regional tour, has said it will base any decisions to support international markets on potential returns and investment opportunities.
Business minister Peter Mandelson said deals worth at least 800 million pounds had been sealed on the trip and warned that Britain needed to raise its game in seeking investment abroad to stay competitive in a swiftly-changing world.
"For us to sustain our living standards at home we have to perform better abroad," Mandelson said, noting that government needed to act as "godfather to these major new contracts."
He said building and support services group Carillion Plc had signed a 500 million pound ($790.9 million) deal with Aldar Properties, the second-largest property developer in the United Arab Emirates.
(Editing by Patrick Graham)
