The richest economies of the world are burdened with huge debts. The over spending because of credit cards can be called, as one of the reasons.

Leaders from the Group of Eight, met in Canada, before the G20 Summit. G20 is the world’s dominant economic policy forum.

The common agenda of G20 Summit, this year, is to create a strong and consistent economic growth. The summit will seek to shape the world economy for at least a generation.

On the other hand Washington is against Berlin. The U. S. officials have said that strictness by the Western Europe may create a hindrance in the recovery of global recession.

German Chancellor Angela Merkel has however, refuted the reports saying that G8 has created any conflict over the policies.

"The discussion was not controversial but was based on great mutual understanding”, she told reporters.

The G20 group has been trying hard to avert the recession in the world economy. Last year, these countries put trillions of dollars to make the economy regain its strength.

Obama has stated in the U. S. Congress on Friday that there is a need of more strict rules for Wall Street. He said that the financial crisis of 2007 should not be repeated.