World economy on recovery path: Obama

World economy on recovery path: Obama
The Times of India, November 16, 2009, Page 19

AGENCIES 16 November 2009,

SINGAPORE: US President Barack Obama said on Sunday the world economy was on a path to recovery but warned that failure to re-balance the global economic system would lead to further crises.

Obama was addressing Asia Pacific leaders in Singapore, where officials removed any reference to market-oriented exchange rates in a communique after disagreement between Washington and Beijing over the most sensitive topic between the two giants.

The statement from the Apec forum endorsed stimulus measures to keep the global economy from sliding back into recession and urged a successful conclusion to the Doha Round of trade talks in 2010.

Obama told Apec leaders the world could not return to the same cycles of boom and bust that sparked the global recession recently. "We cannot follow the same policies that led to such imbalanced growth. If we do, we will continue to drift from crisis to crisis, a failed path that has already had devastating consequences for our citizens, our businesses, and our governments," Obama said.

"We have reached one of those rare inflection points in history where we have the opportunity to take a different path to pursue a new strategy for jobs and growth. Growth that is balanced. Growth that is sustainable." Obama's strategy calls for America to save more, spend less and reform its financial system.