G7 financial leaders to seek ways to calm credit fears

Business Materials 8 February 2008 14:43 (UTC +04:00)

( dpa ) - Financial leaders from seven of the world's leading economies plan at the weekend to discuss ways to ease concerns in global markets caused by US subprime mortgage problems, Japanese Finance Minister Fukushiro Nukaga said Friday.

Nukaga, who is co-chair of the Group of Seven (G7) meeting, said he hoped to discuss with his counterparts on Saturday in Tokyo how to enhance information disclosure by financial institutions and compensate for losses caused by the US home-loan problems.

"It is important that we work together and send a message to stabilize the financial markets and keep the global economy growing," Nukaga said.

But the Japanese minister said each nation should independently try to provide for a recovery in its own economy rather than the G7 states taking concerted action.

At the Tokyo gathering, the finance ministers and central bank governors from Britain, Canada, France, Germany, Italy, Japan and the United States were also expected to discuss the growth of emerging economies, especially China and India as well as global warming, according to the Japanese government.

The G7 leaders were expected to take up a proposal by Japan, Britain and the United States to establish a multilateral fund to support developing countries in combating climate change.

The discussions will precede the summer's Group of Eight summit in Hokkaido, Japan, where climate change was expected to take centre stage.