Claims of U.S. apathy over crisis rejected

Claims of U.S. apathy over crisis rejected

BANGKOK (AFP): U.S. special envoy Larry Summers rejected
yesterday claims of U.S. apathy to Asia's financial crisis,
saying Washington had a major stake in the stricken region and
would ensure adequate financial support.

Deputy Treasury Secretary Summers also gave a vote of
confidence to the Thai government's efforts to implement its
crucial International Monetary Fund (IMF) package, saying he was
"very impressed" with its progress.

"The U.S. has a very great stake in the prosperity of Asia,"
he said after meeting Prime Minister Chuan Leekpai, his economic
"dream team" and his foreign minister during a lightning visit
here as President Bill Clinton's emissary.

"For trade reasons, for reasons of financial stability and for
reasons of national security, the U.S. has a very large stake in
Asia's prosperity and stability.

"There is no question that this is a critical foreign policy
priority for the U.S."

Summers, on a hurried Asian sweep aimed at emphasizing U.S.
support for the crisis-ridden countries of the region, said
Clinton had sent him here as Thailand was an "important ally" and
because "we have an important stake in Thailand's economic
reform."

"We underscored in our talks with Thai officials that
financial stability in Thailand remains enormously important to
the U.S.," he said.

Thai officials at the talks Wednesday told AFP Summers had
emphasized the need for Thailand to continue with the IMF
reforms.

The official said Chuan told the U.S. envoy that the "Thai
media and people had criticized the United States for offering
too little help to Thailand compared to other countries."

But he told Summers that he understood "the limitations of the
U.S. government" caused by a reticence of Congress to get
involved.

Thailand's major English-language dailies Wednesday morning
slammed the United States' "hands off approach" to the economic
downturn and warned of a "backlash of resentment" against
Washington.

Media claims that Thailand wanted the United States to help
with further injections of capital under the IMF program were
denied by senior government officials who attended Wednesday's
meeting.

Tarrin however confirmed that he would meet U.S. Secretary of
State Madeleine Albright in Washington, and officials from the
National Security Council, the IMF, World Bank and the
International Finance Corporation.

The minister and other officials have said they want to see a
review of some of the tough conditions imposed by the IMF on
Bangkok in return for its US$17.2 billion rescue package.

Summers took pains to stress that Washington had not
overlooked the gravity of Thailand's problems and would be
discussing them with Finance Minister Tarrin Nimmanaheminda
during a visit to Washington next week.

"The U.S. ...will remain active in encouraging Thailand's
reform efforts under the IMF program," he said, adding that
Washington was "very much looking forward" to Tarrin's trip.

Summers refused to be drawn on any specific U.S. plan to
inject more cash into the region, saying however that Washington
would back IMF efforts in Thailand, Indonesia and South Korea.