This week's Group of 20 meeting already has a packed agenda: maintaining demand, repairing the global financial system and increasing the International Monetary Fund's resources. But the G20 must raise its sights; the effects of this worldwide recession extend far beyond the 20 states meeting in London. As Robert Zoellick, president of the World Bank, argued yesterday, the developing world needs more support.
The G20 is right to focus on reigniting world growth. Much of the misery in the developing world is the result of a lack of demand elsewhere. At the moment, Latin America and east Asia are suffering from collapses in demand in their export markets. Africa and central Asia are feeling the pain of falling commodity prices and rapidly thinning flows of remittances from expatriate migrant workers.
But some facets of the financial squeeze are hitting hardest those least able to cope. Disruption to trade finance means that developing world suppliers are having trouble getting goods to market. The World Bank has issued $3bn of guarantees, but has not overcome a liquidity problem. Mr Zoellick has proposed a $50bn liquidity programme to draw together existing and new money from public and private sources for trade finance. This should start immediately.