Prof. Moustafa Mohamad El Abdallah Alkafry
2022 / 4 / 30
By Prof. Dr. Moustafa El-Abdallah Al-Kafry
First: The historical roots of the founding of the G-20: 2
1 - The G-20 and the 2008 global financial crisis: 5
2 - The global financial crisis and the new global economic order at the London Summit of the G-20 2009: 7
Challenges of the G20 London Summit: 7
3- Ways to-limit- the repercussions of the effects of the economic crisis in Greece, at the G-20 summit held in Cannes, southern France, in November 2011. 9
4 - The global economic crisis is at the top of the agenda of the G-20 summit in Los Cabos, Mexico, 2012: 12
A - Finding solutions to very sensitive issues: 14
B - "St. Petersburg" development strategy: 14
C - Reducing the high level of unemployment: 15
D - The Syrian crisis dominates the G-20 summit in St. Petersburg: 16
- The Group of Twenty in the face of the global financial crisis to stabilize the global economy: 17
The G20 and the stability of the global economy
Prof. Dr. Moustafa El-Abdallah Al-Kafry
The G20 is an informal forum that supports constructive and open discussions among leading market countries and industrialized nations on fundamental issues related to the stability of the global economy. To contribute to strengthening the global financial structure and providing opportunities for dialogue on the country s internal economic policies, cooperation among them, and the employment of international financial institutions in the service of the global economy. The G-20 also seeks to support the movement of growth and economic development around the world. The group also aims to follow recognized international standards through the example presented by members in areas such as: transparency of financial policy and combating money laundering and terrorist financing. Was this group of countries really able to employ international financial institutions in the service of the global economy? Does it support the movement of economic growth and development in various countries of the world? Has it achieved transparency in financial policy and in addressing money laundering and terrorist financing?´-or-is this group seeking to achieve its interests only, even if that is at the expense of developing countries and poor countries, so the rich get richer and the poor get poorer.
The G20 was established on the sidelines of the G8 Summit on 25 September 1999 in Washington, at the G-20 Finance Ministers meeting. The purpose of this new group is to promote international financial stability and create opportunities for dialogue between industrialized and emerging countries, which the meetings of finance ministers with the Group of Seven have not been able to resolve. The G20 as an economic group consists of the 20 largest industrially developed countries, as well as the European -union-. These countries represent the most countries in the world in terms of economic and strategic importance. The economies of these countries constitute 90% of the world s total output.
Striving to enhance international financial stability is not achieved through dialogue between industrialized and emerging countries only, and neglecting the rest of the world, especially developing countries, but the participation of various countries of the world in this dialogue for the benefit of all.
First: The historical roots of the founding of the G-20:
When the group of European countries was exposed to the first oil shock in 1973-1974, the former French President Giscard d Estaing invited the major industrial countries (the Group of Eight) to hold an economic summit in Rambin to discuss the problems of the recession that hit their economies for the first time since the global depression in The thirties, when the issues of inflation, stagflation and unemployment represented the most important economic problems facing the economic decision-makers in these countries. Then the list of participants in this gathering increased to include Canada, China and Russia in the nineties after Russia, led by Boris Yeltsin, adopted a market economy policy. Then the G8 adopted a formula of eight + five (8 + 5), meaning that it includes the Big Five in the world of peripheral´-or-developing countries. This formula included the United States, Germany, France, Britain, Italy, Japan, Canada and Russia, in addition to China, India, Brazil, then South Africa and Mexico
The call for the participation of developing countries in the dialogue was through the formula of eight plus five, but what happened was the participation of emerging countries such as China, India, Brazil, South Africa and Mexico, all of which are emerging countries. This confirms that the economic bloc never cares about the interests of developing countries except the strong ones. Especially when we note the decline in the volume of development aid provided by developed countries.
For the first time, heads of state and government met, not just finance ministers. The first emergency summit of the Group of Twenty was held in Washington in November 2008, hosted by former US President George W. Bush, and the 8 + 5 formula was expanded to become 8 + 11. Participation in this summit in addition to the countries the above mentioned are Saudi Arabia, Indonesia, Turkey, Mexico, South Korea, Australia and the European -union- as an independent unit. These countries constitute the Group of Twenty.
He also informally participated in the G20 meetings, the Managing -dir-ector of the International Monetary Fund and the President of the World Bank, along with the heads of the international financial committees, the International Monetary Committees, and the development committees of the International Monetary Fund and the World Bank. Thus, the Group of Twenty brought together the prominent market countries, the major industrialized countries, and some emerging countries from all regions of the world.
The Group of Twenty aims to strengthen international cooperation and consolidate the principle of expanded dialogue, considering the increasing economic weight that a number of countries have become. The G-20 accounts for two-thirds of the world s trade and population and more than 90% of the world s gross domestic product. How can international cooperation be strengthened, and the principle of expanded dialogue consolidated, considering only economic weight? Which is now enjoyed by a-limit-ed number of countries (20) countries, and neglecting more than 150 countries, which do not participate in the dialogue.
The population of the G20 countries makes up 65.2% of the world s population. Its systems are divided into the following: (1) a federal system, 14 republics (of which 7 are federal republics and 1 are people s republics) and 5 kingdoms (of which 1 is an absolute monarchy). The G20 countries are divided according to groupings as follows: 3 countries from the NAFTA bloc, 2 countries from the Common Market, 4 countries from the European -union- (which at the same time represent their own countries), and 3-member countries of the Organization of the Islamic Conference. It notes the disparity of the political, economic and social systems of the member states of the group, which may-limit- the results, ambitions and goals it seeks to achieve.
The Asian continent is represented by the G-20 countries such as China, South Korea, India, Indonesia, Japan and Russia in addition to Turkey and Saudi Arabia, the European continent is represented by Germany, France, Britain and Italy, the African continent is represented by South Africa, and South America is represented by Argentina, Brazil, Mexico, and the Americas The North is represented by the United States and Canada, in addition to Australia. We will review the most important summits held by the countries of the group, their success´-or-failure factors and the results adopted by each summit, since the Washington Summit in 2008 until the St. Petersburg Summit in 2013.
1 - The G-20 and the 2008 global financial crisis:
The first emergency summit of the Group of Twenty was held in light of the global financial crisis, which turned into an economic crisis. The summit concealed the reality of the dimensions and depth of this crisis. What was issued by the summit is closer to the recommendations by referring to the upcoming London summit on April 2, 2009, and its general lines were a call to revive global demand, encourage international trade, and stay away from protectionist policies while reconsidering the role played by international financial institutions and in line with the developments that the world has seen it since the Bretton Woods Agreement in 1944.
When the Group of Twenty held its summit in Washington in 2008 during the exacerbation of the global financial crisis, former US President George W. Bush identified five main goals, including:
• understanding the causes of the global crisis,
• Review the effectiveness of the response to it,
• Develop principles for reforming the financial system and the tools for its regulation,
• Launching a specific action plan to put these principles into practice,
• Reaffirm that free market principles are the safe path to sustainable prosperity.
The eurozone economy had contracted by 0.2% in the second quarter of this year due to the global financial crisis, while the data indicated that the economic performance of the eurozone was weaker than that of the United States, whose economy shrank by 0.1% in the third quarter and recorded an annual growth of 0.8%. The main reasons for the contraction of the Eurozone economy were the recession and the decline in economic growth rates in the largest and third largest economy in the Eurozone (Germany and Italy). As for France, the second largest economy in the Eurozone, it avoided recession and recorded a growth of 0.1%.
The US economy is expected to contract by 2.7 percent in 2009 before re-growing by 1.5 percent in 2010.
At a time when financial markets are under severe pressure, new measures had to be taken in order to ease credit pressures and support faltering economic growth. As the continuation of market volatility and the latest indicators of economic performance in the G20 countries confirm the persistence of challenges:
• Increasing inflationary pressures
• Increasing indications of slowing economic growth
• Reducing interest rates.
The US Federal Reserve has cut interest rates by 4.25 percentage points since September 2007 to one percent to stave off the credit crunch and support the declining US economy. In addition, the US Central Bank launched several facilities for lending and currency swaps to ensure the availability of funding for financial institutions.
Several central banks around the world also cut interest rates in their first ever coordinated public move, as fears of a deep recession outweighed concerns about inflation. The measure included interest rate cuts by half a percentage point by the central banks of the United States, the eurozone, Britain, Switzerland, Canada and Sweden.
It was expected that China would play a leading role in resolving the global financial crisis, amid calls from the Group of Twenty countries that China use its huge financial reserves to lift global financial institutions out of its stagnation. Japan suggested steps that contribute to solving this crisis and avoiding the collapse of the global financial system in the future, including strengthening the capabilities of the International Monetary Fund and calling for tighter supervision of credit rating agencies.
2 - The global financial crisis and the new global economic order at the London Summit of the G-20 2009:
The British capital, London, hosted the G-20 summit on April 2, 2009, at a time that reflects the stagnation of thinking and the desire to focus on the pivotal role of the center countries in the global economy only, ignoring global developments and the interests of developing countries. This second emergency summit comes after the first summit Which was held in November 2008, for this gathering, which began timidly on the part of the developing countries and with the mindset of the donor on the part of the advanced industrialized countries.
A report by the International Monetary Fund indicated that about 88 banking crises occurred during the past four decades that affected most parts of the world. The losses to global GDP in the medium term were caused by major banking crises. Although the continuing impact of banking crises for a long-time result from a decline in production, followed by weak investment, high unemployment rates and high inflation rates at the global level.
The International Monetary Fund had warned in 2009, a year after the global financial crisis, that the global financial crisis may hinder the growth of the global economy for at least the next seven years. As banking crises have a long-term impact on the level of global GDP, despite the possibility of resuming growth, even at low rates, and lower levels of employment, investment and productivity, all of which contribute to incurring steady losses to GDP.
- Challenges of the G20 London Summit:
The G20 faces challenges in a variety of fields, from stagnation in climate change talks to uncertainties in global financial markets. Also (any indication of the unity of the row will move the dollar...but the difference of opinion will prevail, which will lead to the market s lack of interaction).
The G-20 leaders agreed to work together to assess the coherence of individual country policies and whether these policies are collectively consistent with more sustainable and more balanced growth. The leaders of the Group of Twenty countries also agreed to transfer some voting rights in the International Monetary Fund from rich countries to underrepresented countries such as China and others, in a new sign of the acceleration of the shift in the balance of economic influence due to the financial crisis.
The second summit (the London Summit) came at a time when the financial crisis turned into a global economic crisis that struck the central countries and extended to reach the peripheral countries, and the poor developing countries were the main victims of the new mechanisms and tools of unbridled financial capitalism and the further unleashing of market forces, while the emerging developing countries entered´-or-the new industrial in the game of testing negotiating powers in order to defend its demands
The world witnessed important developments between the first and second summit of the Group of Twenty, the most important of which are the repercussions of the global economic crisis and the impact of developing countries mainly, the election of Barack Obama as President of the United States of America, transatlantic differences with the European group and the possibility of consensus, and the positions of the emerging industrial countries, which were translated by Chinese demands in The trade and financial sectors. The developing countries also fell victim to the financial and economic crisis that erupted in the center of the world economy, represented by the United States and Europe, and its repercussions were very serious on their economies.
UNCTAD made a number of observations about this gathering and called for the need to reconsider the policy of unleashing market forces that dominated the global economy and were imposed on developing countries for the past long decades, especially after these countries were affected by the decline in the volume of development aid provided by developed countries and the displacement of heads of state. Private funds that have liquidated their financial portfolios in developing countries to adjust their conditions in the mother country, and the same situation was adopted by many private banks and investment funds. The developing countries have also been subjected to a shrinkage in their revenues from abroad, whether as a result of the decrease in global demand for their merchandise exports,´-or-as a result of the deterioration of the proceeds of labor remittances abroad to the mother country.
There have been calls for a more flexible policy on the part of the International Monetary Fund and the World Bank to meet the urgent and urgent needs of developing countries that are faltering as a result of the global crisis.
Reconsidering the balance of power within the international financial institutions, especially the International Monetary Fund and the World Bank, and establishing a new system in emergency lending. The emerging countries and the peripheral countries are taking their place alongside the central countries in establishing a new global economic order.
3 - Ways to-limit- the repercussions of the effects of the economic crisis in Greece, at the G-20 summit held in Cannes, southern France, in November 2011.
In light of the worsening economic situation in Greece, the European sovereign debt crisis overshadowed the G-20 summit, which was held in Cannes, southern France, in November 2011. The leaders of the group discussed the ways they have available to reduce the effects of the global financial crisis. The summit was preceded by a meeting of the participating eurozone countries, namely France, Germany, Italy and Spain. Discussions continued between the leaders of the major industrialized countries and the countries of emerging economies about the consequences of the aggravation of the Greek economic crisis and the possibility of solving it. There was almost unanimity among observers that the situation in Greece has become difficult to handle, and that Europe and the world should prepare to face the consequences of that. Until that summit was held in Cannes, no one outside the European -union- seemed ready to provide -dir-ect financial aid for an urgent solution to the debt crisis in Greece and other countries such as Italy and perhaps Spain.
US President Obama spoke at the summit about the debt crisis in Greece, saying: (Here at the G-20 summit we will discuss in detail the implementation of the entire rescue plan and decisively. We also discuss the situation in Greece and how to solve this problem. The United States will continue its partnership with the Europeans to address these challenges).
In his speech during the opening of the summit, French President Sarkozy also referred to the economic crisis in Greece and other issues, saying: (I want to commend the understanding of the United States on all issues under discussion, especially the Greek crisis and the difficulties of the euro. We will also see in the final statement President Obama s understanding of many issues, especially the issue of taxation of foreign remittances and a common analysis of how the financial sector contributes to solving these problems.
The G-20 summits are the most visible components of the G-20 bloc and its policy issues are now a permanent feature of the global economic policy agenda. The Final Communiqué of the G-20 Summits is the clear outcome of the discussions that took place among government officials, finance ministers, and others throughout the year in preparation for the G20 Summit. The importance of this process is clearly reflected in many of the actions mentioned in the closing statement. One concrete example is trade. After years of repeated pledges by the G-20 to complete the Doha Round of multilateral trade talks, the G-20 finally acknowledged in the Final Communiqué that it clearly will not complete the Doha Development Agenda if negotiations continue as they were in the past. The statement adds: “To contribute to building confidence, we need to use a new and credible approach to advance negotiations in 2012.”
The G-20 summit was supposed to be an opportunity to give China a more prominent role in managing the global economy. However, the explosion of the situation in Greece and the possibility of the downfall of the government and the failure of the rescue plan dominated the agenda of the summit. Other issues related to ways of accelerating economic growth in the world and reducing security, political and environmental threats were also included on the agenda of the G20 summit. However, these issues will not occupy much space in the discussions, even if they are mentioned in the final statement at the end of the second day of the summit. Some of the previously ignored proposals emerged, such as the BRICS countries proposal to increase contributions to the International Monetary Fund to be able to rescue the troubled countries.
In light of the unstable global economic situation, the most important thing for the G-20 summit meetings is to call on countries to assume their responsibilities towards stabilizing the global economy and maintaining its growth in a strong, sustainable and balanced manner. With the recovery slowing and debt crises sweeping the US and the Eurozone. (In the developed world where these economic difficulties have arisen in the first place, political chaos and partisan interests must be abandoned to make the most urgent task of implementing bold reforms to eliminate major structural flaws. Advanced economies must focus on preventing themselves from crises and being brave enough to assume their responsibilities with clear and reliable measures out and tangible).
4 - The global economic crisis is at the top of the agenda of the G-20 summit in Los Cabos, Mexico, 2012:
The summit took place at a time when the global economy is facing great risks and uncertainty. Mexican President Felipe Calderon delivered a speech in which he said: The Los Cabos Summit is a unique opportunity to confront crises. He added: The debt crisis in Greece should not dominate the agenda of the summit... We want to develop a comprehensive plan of action in order to achieve long-term sustainable growth.
The agenda of the G-20 summit, which was held in Los Cabos, Mexico on June 18, 2012, included developments in the global economy and a framework for strong, balanced and sustainable growth, strengthening the international financial architecture and the global financial system, strengthening global financial governance and strengthening global financial resources, in addition to discussing Topics related to the environment, global food security and the role of trade as a source of job creation and avoidance of protectionism.
At the conclusion of the G20 summit in Los Cabos, Mexico, US President Barack Obama praised European leaders plans to tackle the financial crisis afflicting the eurozone. Obama told reporters: (European leaders are alerting the need to take firm and clear steps to address the financial crisis in the European -union-.... I believe, based on what I heard from leaders, that they are aware of the challenges and understand why they should take ambitious and resolute action. I am confident in their ability to get through this the exam).
The closing statement of the G20 summit affirmed that the eurozone members will take all necessary measures to ensure the stability of the euro, improve financial markets and break the barrier between banks and heads of state. European -union- members at the G20 summit are determined to move forward and take steps to support the economy.
The leaders of the emerging countries in the BRICS group also expressed their readiness to contribute to increasing the resources of the International Monetary Fund, to which the Europeans have resorted frequently in recent months. The BRICS countries offered to offer about -$-6.4 billion in exchange for changing the voting mechanism giving them more weight in the international body.
5 - St. Petersburg Development Strategy at the G-20 Summit in Russia 2013:
The G20 leaders met in St. Petersburg, Russia (the birthplace of President Putin) on Thursday and Friday, September 5 and 6, 2013. The leaders reviewed developments during the five years since their first meeting of the heads of state and government of the group. Where the meeting discussed many topics, the most important of which are economic growth and the global economy, the strategy of setting development priorities for the group’s countries in the medium term, assistance to low-income countries, the Syrian crisis and the expected US aggression against Syria.
Russia, the host country of the summit, holds the rotating presidency of the Group of Twenty for 2013. At the beginning of the summit, Russian President Vladimir Putin told the participants, saying: Although the situation has improved thanks to the measures taken by the member states of the group, it is still too early to be satisfied, as the main task of the group is to -restore- the sustainable and balanced growth of the global economy. However, "Unfortunately, this problem has not yet been resolved. There are still risks and systematic situations that lead to the recurrence of a severe crisis." Russian President Putin also emphasized that: The Petersburg Development Plan was prepared in order to reflect the priorities of the G-20 in helping low-income countries, ensuring food security, financial inclusion, developing infrastructure, human capital and mobilizing domestic resources.
A - Finding solutions to very sensitive issues:
In his speech, Russian President Vladimir Putin announced that the G20 Summit confirmed its ability to find solutions to very sensitive issues, recalling the proposals made by Russia that would prevent the outbreak of new global economic and financial crises, including reducing the budget deficit and reducing the size of the state debt in countries. Advanced and eliminating the negatives in the field of financial regulation and solving the problem of lack of resources. Putin praised the steps taken by the European -union- in order to form the European Stability Mechanism and weaken the relationship between state debt in some European countries and the stagnant banking system, considering that the global economy needs comprehensive structural reforms that guarantee stable long-term growth. Were the leaders of the Group of Twenty able to find solutions to the very sensitive issues in the global economy? Solve the problem of lack of resources, and prevent the outbreak of new global economic crises.
B - "St. Petersburg" development strategy:
The G-20 Development Work Committee at the summit detailed the "St. Petersburg" development strategy whose priorities are to strengthen the G-20 s commitment to shared development and to improve the group s development approach. Russia has given priority in developing this strategy to the following aspects as pillars of the G-20 development strategy:
• Create good job opportunities,
• increase investments,
• Achieving transparency and trust,
• Laying down effective rules for economic growth.
• Avoiding policies that may slow recovery´-or-promote growth at the expense of other countries.
) We need to conduct continuous monitoring, anticipate the possible consequences and adopt other preventive measures in a timely manner at the national and global levels... But let us once again repeat that the main objective is to provide the basic conditions for the recovery of the global economy through high-quality development... It is Then stimulating economic growth and job creation are crucial for Russia s presidency of the G-20(.
C - Reducing the high level of unemployment:
The issue of finding effective solutions to the problem of unemployment in the world was the most important economic issue on the table during the meeting of the Group of Twenty in St. Petersburg. In this context, the President of the International Labor Organization, Guy Ryder, called on the countries of the world to move to reduce the high level of unemployment, and work to create new suitable job opportunities. "In the G20 countries alone, there are about 93 million unemployed people, a number equal to the population of Germany, while the total number of unemployed people in the world is about 200 million," Ryder said.
The G20 countries face problems in the issue of employment, as this issue has resulted in social problems in some countries of the world, and if firm measures are not taken in this context, it is unlikely that this situation will change, so solutions and moves must be made to address this problem. Emphasizing the need to adopt a new policy in line with the local reality of each country with the aim of creating new job opportunities to secure sustainable development. Some countries have begun to implement this policy, including Russia, which this year developed a very ambitious plan to create about 25 million new jobs.
The joint declaration, issued after the two-day summit in St. Petersburg, said, "Promoting growth and job creation is our top priority and we will fully commit to taking decisive action to return to a job-rich, strong, sustainable and balanced growth path." As the G20 Joint Declaration noted, "As leaders of the world s largest economies, we have a shared responsibility to promote an open and rules-based global economic order... We are committed to working together to address key global economic challenges."
The World Trade Organization, the Organization for Economic Cooperation and Development and the United Nations Conference on Trade and Development emphasized the need to strengthen multilateral cooperation, and asked the G-20 countries to show leadership in keeping their markets open. "The temptations to turn towards protectionism are now more intense than ever, as the crisis continues to undermine our economies," said OECD Secretary-General Angel Gurrí-;-a. He stressed that the G-20 leaders should play a key role in revitalizing the multilateral trade and investment system, saying that "governments must now more than ever abide by their commitments to open and transparent investment."
D - The Syrian crisis dominates the G-20 summit in St. Petersburg:
At the beginning of the work of the summit, Russian President Vladimir Putin suggested discussing the Syrian file during the dinner, and said that "some of the participants (at the summit) asked to discuss issues of international politics that are not on our agenda, including the situation in Syria..." He added, "I propose to do so." During the dinner, we will now discuss the issues that we have originally gathered to discuss, and which are key to the G20 countries.”
The meetings of the G20 summit in St. Petersburg witnessed extensive consultations on Syria, amid assurances from diplomats at the United Nations that the participating leaders will do their utmost to expedite the convening of the “Geneva 2” conference, which the international community has been trying for several months to convene to find a peaceful solution to the Syrian crisis, in continuation of a previous conference. Held in Geneva on June 30, 2012, despite the ongoing military preparations led by the United States for aggression and a-limit-ed military strike on Syria.
Australia s ambassador to the United Nations Gary Quinlan, whose country holds the rotating presidency of the Security Council for the month of September this year, said that even if there is still a dispute between Russia and the West over the military strike that Washington intends to launch against Syria, members of the Security Council agree that "Geneva II is still necessary and urgent."
Global economic problems were supposed to be at the top of the agenda of the G-20 summit, which is currently chaired by Russia. However, the hot Syrian event also strongly imposed itself on the discussion agenda, especially with major differences between the most prominent members of the group over the way to deal with the Syrian file.
It seems that the global financial crisis calls for the formation and crystallization of a new global economic system characterized by frankness and transparency between developed and developing countries, and the group of emerging industrial countries, led by China and developing countries, calls for the establishment of a new global economic order.
- The Group of Twenty in the face of the global financial crisis to stabilize the global economy:
The leaders of the Group of Twenty countries announced the "success" of their response to the global financial crisis. This response helped stop the sharp decline in global economic activity and stabilize financial markets. (The leaders agreed that their meetings would replace the G7 conferences of rich nations as the main forum for global policymaking and pledged to give rising powers like China a greater role in rebuilding and -dir-ecting the global economy. Rightly, they accepted the inevitable loosening of their grip on the global economy as a result of Rapid industrial growth for poor countries (analysts say the size and diversity of the group is likely to complicate policy coordination).
With economic globalization, the world s economies are becoming increasingly interconnected, and the fiscal and monetary measures adopted by one country can affect the rest of the world. In such circumstances, policy coordination´-or-even a fair global governance system, rather than short-term palliatives, is needed to help achieve sustained economic growth. It is necessary to coordinate among member states to facilitate the reform of the international financial system and the establishment of a new formula for IMF quotas, noting that the process of reform and restructuring can take place when each member state accommodates national and common interests.
The International Monetary Fund believes that the global economy has begun to regain its expansion in light of the significant improvement in financial conditions in the world. The Fund also expects that the losses of banks during the period 2007-2010 will reach about 3.40 trillion US dollars, compared to expectations at the beginning of the global financial crisis, which stated that the banks will lose about 4.00 trillion dollars. The Fund s expectations indicated that Asia would lead the global economic recovery efforts because it withstood the financial turmoil better than expected.
Despite the manifestations of solidarity among the G-20 countries, there were some differences. Many Europeans are disappointed that little agreement has been reached on how to finance the fight against climate change. "I make no secret of my concern about the slow pace of progress... The time to get serious is now, not later," European Commission President Jose Manuel Barroso said in a statement. Leaders agreed that companies would be entitled to redeem bonuses in certain cases. The measure is aimed at ensuring that bankers do not receive huge fees for high-risk bets that could cause losses later.
Prof. Dr. Moustafa El-Abdallah Al-Kafry
Faculty of Economics - Damascus University