The Group of 20 has reached agreement on reform of the Gyeongju, International Monetary Fund, managing director Dominique Strauss-Kahn said on Saturday, describing it as a "very historic" deal.

"It's the biggest reform ever in the governance of the IMF," Strauss-Kahn told reporters, referring to moves to give developing nations like China a greater say in the fund's management.

Strauss-Kahn was speaking on the sidelines of a G20 finance ministers' meeting, which is preparing for a summit in Seoul next month.

He said Europe has agreed to give up two seats on the IMF board to accommodate developing nations. Brazil, Russia, India and China would be among the top 10 IMF shareholders