The economies of advanced countries are forecast to shrink by an average of 2 percent this year. For sub-Saharan Africa, the 2009 outlook has fallen from 6.8 percent to 3.5 percent, and the volume of global trade is expected to fall for the first time since the early 1980s.
To address the problems, many central banks have reduced interest rates to historic levels, while governments have undertaken unprecedented spending and financial support of private sector entities. It is not surprising, therefore, that the G20 and similar groupings are considering proposals to coordinate revisions to financial sector regulation.