Merkel: Take globalization fears seriously

25th January 2007, Comments 0 comments

25 January 2007, Davos (dpa) - German Chancellor Angela Merkel warned that globalization fears should be taken seriously and called for a new global economic order based on fair trade and open dialogue with developing and emerging countries. In the opening address of the annual World Economic Forum in Davos, where she set out her agenda as both president of the G8 and the European Union, Merkel said she saw globalization as mainly "positive," though others remained "fearful." Global economic potential now

25 January 2007

Davos (dpa) - German Chancellor Angela Merkel warned that globalization fears should be taken seriously and called for a new global economic order based on fair trade and open dialogue with developing and emerging countries.

In the opening address of the annual World Economic Forum in Davos, where she set out her agenda as both president of the G8 and the European Union, Merkel said she saw globalization as mainly "positive," though others remained "fearful."

Global economic potential now rests on many more countries' shoulders than 10 years ago, evidence of the unusually high and durable growth rates of the world economy, Merkel said.

She said the international community can not afford to be "inward looking" and must work together to address challenges posed by climate change and energy shortages.

As president of the G8 group of industrial nations, Merkel urged members to take responsibility and "devise a new form of dialogue," particularly with developing economies such as Brazil, China, India, and Mexico.

"It is indispensable for global growth," she said, urging all parties to show "flexibility" to revive the World Trade Organization's Doha Round of trade talks.

"Global competition needs to be placed in a global framework," with politicians acting to reduce "acute global imbalances."

As head of the European Union, she warned Europe against throwing up protective barriers to ward off competition from countries such as China.

"I am firmly convinced in the process of globalization being one of liberalization," she said.

Also Wednesday, a positive tone was struck by a survey of international chief executives published in Davos.

PricewaterhouseCoopers' 10th Annual Global CEO Survey found that more than 90 per cent of chief executives were upbeat about revenue growth in the coming 12 months, nearly twice as many compared to a similar survey five years ago. The survey interviewed 1,100 CEOs across 50 countries including China, Japan, Europe and Latin America.

Up to 2,500 delegates from 90 countries were expected to attend the meeting in Europe's highest-altitude town, where politicians, business leaders and heads of international organizations were discussing a global agenda.

Climate change, environmental security and its impact on the global economy were being especially stressed at this year's event.

Along with government and civic leaders, the meeting includes business executives from companies with combined revenues of 10 trillion dollars, nearly a quarter of global gross domestic product.

DPA

Subject: German news

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