World economy ‘in trouble’, PM tells UN

World economy ‘in trouble’, PM tells UN

United Nations: Prime Minister Manmohan Singh said on Saturday he was worried that the world economic crisis was deepening, posing threats to developing countries and the global financial system.

“The world economy is in trouble," he said in an address to the annual United Nations General Assembly.

“The shoots of recovery which were visible after the economic and financial crisis of 2008 have yet to blossom. In many respects the crisis has deepened further," he said.

Singh, an economist and former finance minister who spearheaded the reform of India’s economy, said economic slowdown in traditional engines of world growth in the West and Japan were hurting confidence in world financial markets.

“These developments are bound to have a negative impact on developing countries which also have to bear the additional burden of inflationary pressures," he said.


PTI adds

‘No selective war on terror’

Pitching strongly for an “unrelenting" fight against terrorism, Prime Minister Manmohan Singh said there cannot be “selective approaches" in dealing with the scourge that needed to be fought across all fronts.

“Developing countries need a peaceful external environment to grow," Singh told the world leaders assembled for the annual meet.

“The fight against terrorism must be unrelenting. There cannot be selective approaches in dealing with terrorist groups or the infrastructure of terrorism. Terrorism has to be fought across all fronts," he said.

While delving upon the continued threat posed by terrorism, the Prime Minister referred to the assassination of Afghan president Burhanuddin Rabbani and said it was a “chilling reminder of the designs of the enemies of peace" in Afghanistan.

He said it was essential that the process of nation- building and reconciliation in Afghanistan succeeds, which was vital for enduring peace and security in the region.

“India will play its part in helping the people of Afghanistan to build a better future for themselves, just as we are doing in other countries in South Asia," he said, adding, “We will do so because prosperity and stability in our region are indivisible."