Obama Urges Major Economies to Find New Areas of Growth

U.S. President Barack Obama says all major economies must find new areas of growth to replace those that triggered the global economic crisis.

Mr. Obama was speaking Tuesday after talks with Australian Prime Minister Kevin Rudd at the White House. The president said he and Mr. Rudd agree that clean energy can be a new source of economic growth with "enormous potential."

He also said he is very confident that his administration can work with other major economies at a summit in London next month to stabilize the financial system.

The U.S. president said he expects the Group of 20 summit to agree on a new framework to regulate financial instruments that pose a risk to global markets. But he said many regulatory issues are highly technical and may not get resolved immediately.

Earlier, Mr. Obama urged Group of 20 leaders to take "bold, comprehensive and coordinated action" to bring about a global economic recovery and avert future crises.

In an article published Tuesday in the International Herald Tribune, Mr. Obama said the Group of 20 should follow Washington's lead by implementing further stimulus measures to promote growth.

China is calling for the creation of an international currency to reduce the risks of relying on one national currency for making international payments. China is the biggest holder of U.S. debt and it fears the dollar's value will slide as the U.S. tries to boost its economy.

In an article published late Monday, Chinese central bank governor Zhou Xiaochuan urged the International Monetary Fund to set up a global reserve currency.

German President Horst Koehler said Tuesday he also wants governments to reform the global financial system. Mr. Koehler's role as president is largely ceremonial, but he holds considerable international influence as a former head of the International Monetary Fund.

Germany is the largest economy in Europe.

Some information for this report was provided by AFP, AP and Reuters.