‘India, China, Japan must play role to overcome market crisis’

October 23rd, 2008 - 4:22 pm ICT by IANS  

Beijing, Oct 23 (DPA) Major Asian economies Japan, China and India must play a full role in overcoming the global financial crisis, president of the European Commission, which is the executive arm of the European Union (EU), Manuel Barroso said Thursday.”We need to take the lessons of the crisis for reform of the global financial system,” Barroso told reporters ahead of a summit of Asian and European leaders.

“We need Asia on board,” he said, adding that the participation of China, India and Japan was vital for a global solution to the crisis.

“Apart from the financial dimensions of the crisis, there are major imbalances in global trade,” Barroso said.

The international community needs an “unprecedented level of global coordination” to reform financial institutions, tackle poverty and address other root causes of the crisis, he said.

The largest gathering till date of Asian and European leaders is to open Friday and Saturday with 27 European and 16 Asian nations represented.

The seventh biannual Asia-Europe Meeting (ASEM) was originally planned to focus on efforts to combat climate change and promote sustainable development, but it is now dominated by the global financial turmoil.

Barroso said the main aim of the ASEM summit was to agree principles for reshaping global financial systems, but he said climate change would not be forgotten.

“Fighting climate change remains as important as before the financial crisis,” he said.

The EU accepted the UN principle of “common but differentiated” responsibilities for developed and developing nations to reduce greenhouse gas emissions, but it believed that developing nations “need to make a substantial contribution”, he said.

Many leaders of Asian and EU nations arrived in Beijing Thursday ahead of the ASEM summit.

Indonesian President Susilo Bambang Yudhoyono and Finnish President Tarja Halonen were among several leaders who held bilateral meetings with Chinese President Hu Jintao Thursday.

Singapore Prime Minister Lee Hsien Loong held talks with Chinese premier Wen Jiabao.

In a speech at a pre-summit Asia-Europe business forum Wednesday, Chinese Vice President Xi Jinping said supervision of financial institutions and the setting up of a financial early warning mechanism were “crucial” elements of global financial cooperation.

This year’s ASEM summit includes several new members, notably India and Pakistan, meaning the delegates represent a combined 50-60 percent of the global population and economy.

Barroso said the opening of a China-EU School of Law in Beijing Thursday was important for the rule of law in China and for creating better understanding between the two sides.

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