G20 on track for 1.8 per cent extra growth: communique

CAIRNS, Australia - Finance chiefs from G20 nations Sunday said they would be able to achieve an extra combined 1.8 per cent growth over the next five years under reforms agreed among member nations.

"Preliminary analysis by IMF-OECD indicates these measures will lift our collective GDP by an additional 1.8 per cent through to 2018, including from important positive spillovers," they said in a communique.

They added that further measures were needed to meet their target of raising the total GDP of the 20 major world economies by two per cent above current projections.

"In the lead up to the Brisbane (leaders') summit, we will continue to identify a series of additional measures to meet our collective growth ambition," they added.

"We will hold each other to account in implementing these policy commitments."

International Monetary Fund chief Christine Lagarde hailed what she called "significant progress" despite increased geo-political tensions since the ministers last met in Sydney in February.

"Despite the global recovery continuing, the pace of growth remains low and uneven, in part given increased geopolitical tensions and risks of financial market turmoil," she said.

"Promoting economic policies that can contribute to a more robust and job-rich recovery is therefore critical at this stage.

"I commend G20 countries for significant progress in developing growth strategies to lift medium-term growth."

Australian Treasurer Joe Hockey, who was chairing the meeting, also welcomed the progress but warned the G20 about being complacent.

"The G20 recognises that many of the decisions and actions to get the world economy moving are difficult," he said.

"But we are determined to lift growth, and countries are willing to use all our macroeconomic levers - monetary, fiscal and structural policies - to meet this challenge."