Brown pushing for economic ties with India

British Chancellor Gordon Brown today said institutions like the Group of Eight leading nations, the UN and the International Monetary Fund must reform to reflect a “new world order” in the global economy.

The emergence of countries such as India necessitated changes to the membership and operations of such global bodies, Brown said in an address to Indian business leader in the county’s technology hub, Bangalore.

“It is time to formally recognise on a more consistent and regular basis the reality of this emerging new world order,” the Dow Jones Newswire quoted Brown as saying.

Brown said the UN should be reformed to reflect the contribution of countries like India, adding that he backed New Delhi’s demand for permanent membership in the UN Security Council.

The IMF and the World Bank should also be restructured in keeping with a changing world, he said.

These world bodies “cannot be effective unless they are modernised to reflect the emerging world order”.

Brown is in India on a three-day visit aimed at reviewing bilateral ties and exploring cooperation in the financial services and education sectors.

Brown faced criticism ahead of his trip for not having visited India, one of the world’s fastest-growing economies, before.

In Bangalore, Brown was also scheduled to visit India’s third-largest software company, Wipro, and the leading pharmaceutical firm, Biocon, the British High Commission said in a statement.

He will be in New Delhi tomorrow and will meet India’s finance minister P Chidambaram to launch the Indo-British Economic and Financial Dialogue, an initiative aimed at boosting trade and commerce, the statement said.

He is also scheduled to meet Indian Prime Minister Manmohan Singh and Sonia Gandhi, leader of India’s ruling Congress Party.

On Friday, Brown plans to travel to Mumbai, India’s business and entertainment capital, where he is expected to hold meetings with bankers and industry leaders.

Brown will also visit Yashraj Studio, a leading film production centre in Mumbai, the statement said.