Summers begins Asian tour to obtain feedback

Summers begins Asian tour to obtain feedback

SINGAPORE (AFP): U.S. Deputy Treasury Secretary Lawrence
Summers launched a five-nation Asian tour here Sunday to get
feedback on how the region was coping with a rapid economic
slowdown caused by the prolonged financial crisis, officials
said.

After Singapore, Summers will travel to Indonesia, China,
South Korea and Japan during the trip spanning to Feb. 27, Thomas
Gradisher, spokesman for the U.S. embassy here, told AFP.

Gradisher said the objective of the visit was to "discuss the
economic situation" in the region.

Summers is scheduled to meet with President B.J. Habibie
Monday morning.

Summers held separate talks with Singapore Prime Minister Goh
Chok Tong and elder statesman Lee Kuan Yew immediately on arrival
here for an overnight visit. He did not meet the media after the
meetings.

Summers was earlier scheduled to make the trip last month but
a Treasury official had said it was postponed due to
"international economic developments."

At that time, the Brazilian financial crisis flared, stemming
from the devaluation of the real currency which rocked world
markets.

The United States, a key backer of the International Monetary
Fund's bid to help ailing Asian economies, is concerned that a
prolonged Asian slump would hurt its exports and cut jobs at
home.

U.S. economic growth is also widely expected to be lower in
1999 due largely to problems ignited in Asia where a currency
turmoil in mid-1997 slammed the brakes on rapid economic
expansion and caused massive unemployment and chaos in financial
and real estate markets.

Washington, concerned that the regional crisis would delay key
financial reforms in Asia, is pushing hard to drive home the
point that markets should remain open for progress.