The upcoming G20 summit in London will set the course for the establishment of a new international financial system, Ibero-American General Secretary Enrique Iglesias said.

The deteriorating international financial crisis is the biggest challenge facing the world, showing the current international financial mechanism has failed and must be adjusted, Iglesias told a meeting of the Inter-American Development Bank (IDB) in Medellin on Saturay.

The London summit would be an important opportunity for making the first step in reforming the mechanism, he added.

The general secretary said new changes are taking place in the world political and economic situation with the development of the so-called BRIC countries including Brazil, Russia, India and China.

These emerging markets should have a bigger say in global economic issues, he said.

Iglesias said the measures to stimulate consumption and generate scientific innovation will help boost global economic development.

He also called for abandoning trade protectionism, broadening trade opening-up, and strengthening financial regulation.

The 50th annual meeting of the IDB, which started here Friday and lasted till next Tuesday, drew the participation of financial ministers, central bank chiefs or senior representatives from 48 countries. High on the agenda of the meeting are impacts of the financial crisis, ways to sustain economic growth in Latin America and other issues.

Ibero-America includes 19 Spanish and Portuguese-speaking countries in Latin America, and Spain, Portugal and Andorra on the Iberian Peninsula in Europe.

(Source: Xinhua)