Saturday, February 09, 2008
America to avoid recession, says G7
Posted by David Smith at 10:00 AM
Category: Thoughts and responses

Finance ministers and central bankers from the G7, at their meeting in Tokyo, warned of slower global growth but said America should escape recession. This is part of what the G7 - America, Britain, Japan, Germany, France, Italy and Canada - said in their statement.

"In all our economies, to varying degrees, growth is expected to slow somewhat in the short term, reflecting wider global economic and financial developments ... Going forward, we will continue to watch developments closely and continue to take appropriate actions, individually and collectively, in order to secure stability and growth in our economies.

There were no new initiatives on currencies. The tone of the meeting, which warned of significant downside risks to growth, a view shared by the European Central Bank, suggested that further rate cuts are on the way.