Tokyo, Oct 22 : Prime Minister Dr. Manmohan Singh today called for a coordinated response to deal with the current global recessionary trends.
While addressing the business delegates at a luncheon organised by the Japan-India Business Cooperation Committee and the Japan Chamber of Commerce and Industry here, Dr. Singh said that the need of hour is to prevent the liquidity crisis from further shattering the confidence of investors.
"We have to prevent liquidity crisis from becoming the crisis of confidence in the international monetary and financial system. The governments and central banks of the major economies have taken strong and innovative steps to deal with crisis. The global nature of the crisis calls for a coordinated global response," he added.
Dr. Singh also said that developing countries are not untouched by the slowdown and that they should play a key role in resolving the crisis.
"Developing countries like India are also affected by the crisis and had to be a part of the solution. We cannot afford to risk the gains we have made in the last few years. Nor do we wish to remain vulnerable to infirmities in international surveillance, supervision and regulatory mechanisms in the future," he said.
Japan's trade with India in 2007 was about 1.21 trillion yen (11.8 billion dollars), according to the Japanese finance ministry, slightly more than four percent of Japan's trade with China.
During his visit, Dr. Singh will meet his Japanese counterpart Taro Aso and will hold talks on political, security and economic ties, including a free trade agreement, aiming to expand bilateral strategic relations.he Prime Minister is expected to discuss nuclear energy issues in Japan, which reluctantly backed a nuclear technology deal between India and the USA.
During his visit, Dr. Singh will call on Japanese Emperor Akihito. Several high-ranking Japanese ministers as well as Opposition leaders are expected to call on Dr. Singh. By Naveen kapoor