World leaders said yesterday they were confident that stability could be restored to Asia's troubled economies, but stressed that governments in the region would have to stick with the programmes agreed with the International Monetary Fund.
Ending the G8 summit in Birmingham, the leaders also agreed to ease some of the burden of debt on the world's poorest countries, particularly those who have resolved recent civil conflicts.
In a communiqe issued at the end of the weekend gathering, the G8 - made up of the United States, Japan, Germany, France, Italy, Britain, Canada and Russia - described the financial crisis in Asia as a temporary setback.
The leaders pledged their support for the reforms underway across the region and said the world could learn from the problems.
"We believe a key lesson from events in Asia is the importance of sound economic policy, transparency and good governance. These improve the functioning of financial markets, the quality of economic policy making and public understanding and support for sound policies, and thereby enhance confidence," the statement continued.
They voiced concerns that the difficulties in Asia could trigger a wave of protectionism, both in the countries concerned and in others: "Such an approach would be highly damaging to the prospects for recovery. We resolve to keep our own markets open and call on other countries to do the same."
The G8 leaders said they were particularly concerned with Indonesia, urging the authorities there to show "maximum restraint" and to respect human rights.
While their statement fell short of a direct call on President Suharto to resign, the G8 pointed out that "successful economic reform and international support for it will require sufficient political and social stability".
On Saturday, despite the rival attraction of the English FA cup final, an estimated 50,000 people formed a 10-kilometre human chain around Birmingham, most calling on the G8 leaders to write off the debt of the world's poorest countries.
They were greeted by Britain's International Development Minister, Ms Clare Short, who said she shared their concerns. "We are the first generation ever to have the capability to eliminate absolute poverty from the world. You are here to ask the leaders of the world's richest country to take their obligations seriously."
But in their final statement, the leaders promised only a "shared international effort...to support the speedy and determined extension of debt relief" to the poorest countries.
"We also need to consider further ways to respond to the exceptional needs of poor post-conflict countries as they rebuild their political, economic and social systems in a manner consistent with democratic values and respect for human rights," the communique said.
The G8 leaders also committed themselves to more action to encourage social inclusion and fight unemployment. In particular, they said, their governments would concentrate on measures to help young and long-term unemployed people; to help entrepreneurs set up companies; to carry out structural reforms including making tax and benefits systems more employment friendly; and to promote life-long learning.
