Bush faults Congress on economy

US President George W

US President George W. Bush said today the US economy was facing a "tough time" because of rising food and energy prices and a weak housing market, and faulted Congress for inaction.

"Many Americans are understandably anxious about issues affecting their pocketbook, from gas and food prices to mortgage and tuition bills," Mr Bush told a press conference.

"They're looking to their elected leaders in Congress for action. Unfortunately, on many of these issues, all they're getting is delay," he added.

Mr Bush pushed for lawmakers to approve new refineries to increase gasoline supplies, allow oil exploration in the Arctic National Wildlife Refuge in Alaska, support nuclear power, and reform the Farm Bill.

He also called on Congress to pass legislation to modernize the Federal Housing Administration, reform housing finance companies Fannie Mae and Freddie Mac, and allow state housing agencies to issue tax-free bonds to refinance subprime loans.

"On all these issues, the American people are looking to their leaders to come together and act responsibly. I don't think it's just too much to ask even in an election year," Bush said.

House of Representatives Speaker Nancy Pelosi countered that Democrats have asked the White House to cooperate on finding ways to boost the economy.

She said Mr Bush could help by freeing up more oil by halting deposits to the Strategic Petroleum Reserve; dropping a threat to veto House legislation creating tax credits for renewable energy; and passing reforms to the home lending industry.

Democrats have said they will not move forward on trade deals that Mr Bush eagerly wants until they get more cooperation on legislation to help displaced workers and a broader economic recovery package.

"For weeks now, Democrats have asked for the White House to sit down with us and find consensus on how to help the American economy and American families - before another trade deal is ratified," Ms Pelosi said in a statement. "We renew that call today."