Reuters - The Financial Stability Forum (FSF) doubles its membership this week to increase legitimacy of an informal, exclusive club of central bankers and regulators, but at the price of taking more heed of emerging market concerns.
The FSF was set up by the group of seven countries after the Asian crisis in 1999 to promote financial stability. "To be effective and retain legitimacy, the FSF needs to involve leading advanced and emerging market economies," said FSF Chairman Mario Draghi last Friday. It has offered membership to Argentina, Brazil, China, India, Indonesia, Korea, Mexico, Russia, Saudi Arabia, South Africa and Turkey.
Draghi said the expansion will take effect just after the G20 summit in London this week, which is set to formally endorse the move.