Developing countries worry about uneven world economic<\/p>\n
Harry Dunphy, Associated Press\/Washington<\/p>\n
The sharp increase and continuing volatility of oil prices risk
\nserious harm to a growing global economy, the Group of 24
\ndeveloping countries said on Friday. So do uneven expansion of
\nthe world economy and tightening financial markets.<\/p>\n
In a communique issued on the eve of the spring meetings of
\nthe International Monetary Fund, the Group of 24 said to keep the
\nglobal economy humming the United States should act to rein in
\nits budget deficit and Europe and Japan need to boost their
\nsluggish economies and stimulate consumer demand.<\/p>\n
The ministers said they worry about widening trade deficits in
\nthe U.S. and other countries because they \"increase the risk of
\ndisruptive movements in the exchange rates of the major
\ncurrencies and in interest rates.\"<\/p>\n
The group also urged emerging market Asian nations to loosen
\ntheir currency exchange rates, many of them pegged to the U.S.
\ndollar. The U.S. is expected press its allies at the weekend to
\ntry to influence the Chinese to ease their currency regime, and
\ndo it now, to help reduce the U.S. trade deficit.<\/p>\n
The G-24 was established in 1971 to coordinate financial and
\naid policies for the developing countries. It includes richer,
\nrelatively more-developed members such as India, Egypt, Brazil
\nand Mexico. China sits in the meeting as an observer.<\/p>\n
The ministers noted that \"growth prospects in many countries,
\nparticularly the low-income countries, are clouded by high and
\nunsustainable debt levels. This calls for continued attention to
\nprudent macroeconomic and debt management policies in these
\ncountries as well as a concerted effort by the international
\ncommunity to increase debt relief and conditional financing.\"<\/p>\n
Industrial countries should open their markets to developing
\ncountry exports and remove agricultural subsidies, the Group of
\n24 said.<\/p>\n
\"This is something we have been asking for years,and it
\ndoesn't hurt to keep repeating it,\" said Paul Toungui, the
\npresident of the Group of 24, who is finance minister of Gabon.<\/p>\n
The ministers also appealed to the international community to
\nensure that pledges of support for Asian countries hit by last
\nDecember's devastating tsunami \"are translated into actual
\ndisbursements.\"<\/p>\n
They welcomed recent elections in the West Bank and Gaza and
\nAfghanistan and Iraq. They urged the IMF and the World Bank to
\nprovide the new Palestinian government with technical and
\nfinancial assistance it needs to operate effectively.<\/p>\n
Referring to development goals world leaders established five
\nyears ago -- reducing poverty, eliminating illiteracy and
\nimproving health care - the ministers said achieving them remains
\na challenge, particularly in Africa south of the Sahara.<\/p>\n
\"Ministers call on the World Bank as well as other
\nmultilateral institutions and bilateral donors to further
\nincrease their assistance to African countries to support their
\nefforts to meet\" the development goals, the communique said.<\/p>\n
The ministers said the role of small and low-income countries
\nin the governance of the IMF and World Bank is very limited and
\nstressed the need for concrete actions \"to reduce the democratic
\ndeficit and enhance the voice and participation of developing
\ncountries in decision-making at the IMF and World Bank.\"<\/p>\n
They expressed appreciation to outgoing World Bank President
\nJames Wolfensohn, who steps down June 1 after 10 years at the
\nhead of the bank, and welcomed Paul Wolfowitz, his replacement.<\/p>",
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