G7 comes to rescue of falling World Markets

New Delhi, Oct 11: The Group of Seven (G7) finance ministers and central bank heads said agreed to do everything in their power to tackle a financial crisis that threatens to plunge the world into recession.

But, they unveiled no steps or measures o control the drop. The world's seven leading economies suggested 'all available tools' to stabilise the financial system and unblock credit markets that have come to a virtual halt in the United States and Europe. US Treasury Secretary Henry Paulson called for 'an aggressive action plan' and the brief reflected a common approach of the world's big economic powers.

The G7 agrees that the situation calls for an immediate action as the economies around the world are on the brinks of collapse.

"The G7 agrees today that the current situation calls for urgent and exceptional action," read a joint statement. Governments would "take all necessary steps to unfreeze credit and money markets".

The meeting in Washington came as stocks around the world plunged in record levels this week amid widespread fears of a global recession.

On the sidelines of the meeting, some G7 members said they were planning to take equity stakes in their banks as part of a broader rescue plan and injection of capital.

OneIndia News