Global economic recovery is top priority - Putin

Conditions need to be created to improve the global economic situation, President Vladimir Putin said.

Conditions need to be created to improve the global economic situation, President Vladimir Putin said.

"The main thing is to ensure the basic conditions for global economic recovery, recovery through qualitative development," Putin said on Thursday at the first working session of the G20 leaders and governments and the heads of invited countries and international organizations.

"The issues of stimulating economic growth and creating jobs have been central during Russia's presidency of the G20," Putin said.

Putin urged the summit participants to approve "the St. Petersburg plan of action for ensuring growth and creating jobs." "I believe that we have every reason to view this document as a sensible balance of interests," Putin said.

The plan will strengthen financial market confidence "in our plans, our intentions, and, with that, direct the gaze of investors to the real sector of the economy," he said.

The budget strategies and commitments of the countries to carry out structural reforms lie at the foundation of the plan, he said.

"Over the course of intense discussions, an overall understanding of the need to find an optimal balance between carrying out fiscal consolidation and supporting growth took shape. This was difficult work. We have our experts to thank for its results," Putin said.

Very recently, the International Monetary Fund (IMF) lowered its forecast for global economic growth in 2013 to 3.1 percent, whereas a year ago estimates hovered around 4 percent, the Russian president said.

The U.S. economy is growing, "which everyone is certainly pleased about, although unfortunately the rates aren't as high as we would like them to be," Putin said.

For the first time in many years, the Japanese economy is growing. "Unfortunately, there aren't any guarantees as to the sustainability of this trend yet," the president said.

In the euro zone, "merely the first signals of an end to the recession have appeared; 0.2 percent growth was recorded in the second quarter," Putin said. "For the year as a whole, they're not expecting such good results. In addition to that, new risks have arisen literally in the last few months," he said.

Monitoring needs to be carried out constantly, the potential effects need to be forecast, and additional preventive measures need to be taken on both a national and global level in a timely fashion, Putin said.

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