G7 sets sights on new world order

THE world's richest nations have called for urgent reform of global finance to save the world from the economic devastation that is dragging more and more countries into recession.

Italy's finance minister called for a "new world economic order" as he wrapped up the crisis meeting of finance leaders from the Group of Seven leading economies over which he presided here.

In a joint declaration, the G7 called for "urgent reforms" of the international financial system.

Mr Tremonti said a so-called set of "legal standards" discussed in Rome would be presented at a meeting of 20 key advanced and emerging economies (G20) in London in April and a summit of the Group of Eight (G8) world powers in July.

"A new world economic order might seem rhetorical," he said. "But it is a true goal we should be aiming towards... today right here in Rome we've embarked on a very significant journey, both technical and ethical."

The G7 delegates in a joint statement vowed to avoid protectionism as they seek to stabilise the tottering world economy and financial markets and said stabilisation of the world economy was their "highest priority".

The global crisis "has highlighted fundamental weaknesses in the international financial system and that urgent reforms are needed", the statement said. More