The G20 leaders have come to a deal worth $1 trillion ($A 1.43 trillion) that will be used to help end the recession. The International Monetary Fund (IMF) will get $750 billion to help countries which are struggling with their economies.
Australia Prime Minister Kevin Rudd signed off on the six-point deal, saying the cooperation of G20 leaders was essential to save the economy. Europe and Japan pledge $100 billion each, whilst emerging power China offered $40 billion.
The leaders, who are meeting at the ExCel Centre in the east end of London, have also agreed to "name and shame" countries which breach free trade rules and will also take action against international tax havens.
As the summit began Prime Minister Gordon Brown and US President Barack Obama reaffirmed the "special relationship" between Britain and America. President Obama spoke of how there was an "extraordinary kinship and affinity" between Britain and the US.
Yesterday leaders from 20 of the world's leading economies met in an attempt to hammer out a solution to the economic crisis which has rocked the world.
The key issues debated during the summit were the amount of new regulation for the economy and also any increased fiscal stimulus. The current crisis has largely been blamed on a lack of stringent financial regulation by governments, which led to questionable financial practices.
France and Germany were said to favour more regulation than Britain and the USA, however the President of the European Commission, Jose Manuel Barroso, told the BBC that despite differences there was a desire for "convergence".
He said, "We will have consensus around the two points that sometimes appear as differences: stimulus of the [global] economy and regulation. We need both, it is a question of credibility."
Yesterday as the G20 kicked off, violent protests took place in the City of London. One man died of natural causes during the protests, despite the efforts of police paramedics.
Anarchist protestors also smashed a branch of Royal Bank of Scotland, and were involved in numerous skirmishes with the police.
Today there were more protests, this time at the ExCel Centre itself, however they passed peacefully. The police have arrested over 100 people for violence during the G20 protests.