Obama calls for 'sense of urgency' to deal with downturn

US PRESIDENT Barack Obama has called for “a sense of urgency” in addressing the world economic crisis ahead of today’s G20 summit…

US PRESIDENT Barack Obama has called for “a sense of urgency” in addressing the world economic crisis ahead of today’s G20 summit which British prime minister Gordon Brown says is set to agree “a new global plan for economic recovery and reform”.

The summit at the ExCel centre in London’s Docklands takes place amid a continuing, complex policing and security operation designed to allow a second wave of public protests while protecting the leaders of the so-called “Group of 20” from public order disturbances or terrorist threats and ensuring the successful conclusion of the summit.

Scotland Yard has said it will continue with its “pragmatic and proportionate” response to today’s planned protests following 32 arrests during largely peaceful demonstrations by thousands of protesters yesterday in the City of London.

One man died after collapsing, police said. He was found unconscious near the Bank of England and two police medics were unable to resuscitate him.

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The G20 got formally under way last night with a reception at Buckingham Palace hosted by Queen Elizabeth followed by a Downing Street dinner for the leaders, prepared by celebrity chef Jamie Oliver. Hard bargaining and tough talking continued through the social pleasantries, however, after German chancellor Angela Merkel and French president Nicolas Sarkozy confirmed they had not yet approved any final communique for release this afternoon.

Speaking at a joint press conference in the foreign and commonwealth office after an initial breakfast meeting with Mr Brown at 10 Downing Street, Mr Obama acknowledged that the US “has some accounting to do” for its part in the global financial crisis – while resisting a “blame” game and urging world leaders not to “short-change the future for fear of the present”.

At the start of a long day of intense diplomatic activity ahead of his own private audience with Queen Elizabeth – during which he announced important new initiatives with Russia and China – Mr Obama sprinkled his famed “gold dust” lavishly on his British host.

Affirming his belief in the “special relationship” between Britain and America, Mr Obama praised Mr Brown for his “extraordinary energy and leadership” in the build-up to the summit.

At the same time, Mr Obama sought to defuse tensions with European leaders, promising that he was in London “to listen” as well as to lead while dismissing portrayals of this G20 as a choice between those seeking further fiscal stimulus for the global economy and those demanding more effective regulation of the world’s financial markets. Citing agreement already on “the core notion that government has to take steps to deal with a contracting global marketplace”, the president also insisted: “The notion that somehow there are those pushing for regulation and those resisting regulation is belied by the facts.”

Those tensions were again on display, however, when Dr Merkel and Mr Sarkozy staged their own mini-summit and press conference to draw “red lines” under their demand for a new deal on banking and financial regulation.

While also praising Gordon Brown and expressing confidence that agreement would be reached on a final communique, Dr Merkel insisted that “the foundations for this new financial architecture must be laid now” and could not await another summit.

Mr Sarkozy appeared to retreat from his earlier threat to walk out rather than agree “a lowest common denominator”, telling reporters: “It would be a pity for me to leave as I have just arrived.”

After their bilateral meeting, Mr Obama accepted Russian president Dmitry Medvedev’s invitation to visit Moscow in July for talks on a possible new nuclear disarmament deal.

Mr Obama also accepted an invitation from premier Hu Jintao to visit China later in the year, following on from their commitment to enhance US-China relations.