Source: CriEnglish (China)
Source type: Newspaper
Published on: 01 Oct 2010

Economic issues will remain one of the hottest topics at the Asia-Europe meeting next week even though the worst of the global financial crisis has passed, a European Union (EU) envoy said Thursday.

Economic issues will remain one of the hottest topics at the Asia-Europe meeting next week even though the worst of the global financial crisis has passed, a European Union (EU) envoy said Thursday.

"The danger is over," Serge Abou, EU Ambassador to China, said in an interview ahead of the 8th Asia-Europe Meeting (ASEM8) to be held in Brussels Oct. 4 to 5.

Compared to the situation in 2008, when ASEM7 was held in Beijing, the world economy has changed, noted the envoy.

He said the past two years have been a "very, very difficult time" for the world economy.

Earlier this month, the European Commission raised its forecast for eurozone economic growth this year to 1.7 percent, up from its 0.9 percent forecast in May.

Meanwhile, the Asian Development Bank said that Asia excluding Japan will grow 8.2 percent this year, significantly higher than its April forecast.

"We have recovered. I think more or less we are back to our normal situation," said Abou, adding that the participants at the Brussels meeting represent 58 percent of the world's population, 50 percent of global GDP and over 60 percent of global trade.

"Moreover, we have avoid the protectionist strategy," he said.

Economists fear some economies will resort to full-scale protectionism to ensure domestic employment, which would harm free trade and pressure the world economy.

Abou said the consensus reached by Asian and European governments at the last ASEM in Beijing had "inspired" the solution forged at G20 summits in Washington and London.

Despite the progress made in the past two years, there is still a risk of another recession, Abou added.

He warned about the debt stimulus packages have led to.

"Because of the crisis and the stimulus plans, we have reached some pits in the budget situation," Abou said.

Under the theme "Quality of Life: Achieving Greater Well-being and More Dignity for all Citizens," the ASEM8 meeting will also discuss reform of the International Monetary Fund, climate change and environmental protection, and social and cultural exchange between Asia and Europe.

All in all, the purpose of the meeting is to discuss "how to better manage the planet," said the ambassador.

-Edited by Jiang Aitao, CRIEnglish, http://english.cri.cn/6826/2010/10/01/189s597259.htm