Nukaga, Paulson Pledge to Cooperate in Fight Against Inflation

By Makiko Yamazaki

Osaka, June 13 (Jiji Press)–Japanese Finance Minister Fukushiro Nukaga and U.S. Treasury Secretary Henry Paulson on Friday confirmed that the two countries will work closely to address global inflation and ensure stability in the world economy.

Nukaga and Paulson, meeting on the sidelines of a session of the Group of Eight finance ministers, acknowledged that there remain uncertainties clouding the world economy, such as rising crude oil and food prices and inflation, Nukaga told reporters.

The talks therefore highlight that rising inflation risks worldwide have emerged as an issue that needs to be addressed urgently by the world’s leading economies.

The ministers also confirmed continued vigilance over the global financial system.

Even though the U.S. financial sector seems to have regained composure from the subprime mortgage crisis, the situation warrants no optimism, Nukaga told Paulson at the meeting.

Paulson agreed and said such issues should be thoroughly discussed at the G-8 finance ministers’ meeting on Saturday.

Asked whether the weak dollar came up in their talks, Nukaga said he would not comment on currency issues, but said that currencies were one of the topics at the meeting.

Elsewhere, the ministers agreed to ask a wide range of countries to join in a multilateral climate fund initiated by Japan, the United States and Britain to help developing countries reduce growth in greenhouse gas emissions.END

(c) 2008 Jiji Press English News Service. Provided by ProQuest Information and Learning. All rights Reserved.