US sees emerging market woes as focal point at G20

WASHINGTON (REUTERS) - Economic policymakers from the world's biggest economies will focus on recent financial market turbulence when they meet next week in Sydney, a senior official at the United States (US) Treasury said on Friday.

Finance ministers and central bankers from the Group of 20, which brings together the world's biggest economies and acts as a steering committee for global economic policy, will meet on Feb 22 and 23 in Australia.

Stock, bond and currency markets in developing countries have convulsed in recent months, hit by concerns over weaker economic growth and the winding down of monetary stimulus in the US.

"Clearly this will be one of the focal points," the official said in a call with journalists.

The Americans are likely to get an earful at the meetings over Washington's failure to follow through on a pledge to give developing nations a bigger say at the International Monetary Fund (IMF). The official told reporters that the Obama administration was still trying to convince Congress to approve the IMF reforms.

"We recognise that the United States' continued delay in adopting the reforms is a setback," the official said.

Washington also will urge Europeans to act decisively to fix their banking system, as weak lending is dragging on economic growth in the region. The European Central Bank is due to release a review of assets in big banks this year.

"A rigorous asset quality review and stress tests will be central to restoring confidence in the euro zone's banking sector," the official said.

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