FM for global action to deal with crisis

Describing the high commodity and food prices a threat to growth and food security in energy dependent emerging economy,the Minister called for collective global action to overcome the crisis.

“We shall have to work collectively and see that we can overcome the impasse,” Mukherjee said.

His comments came a day after the country’s industrial production fell to a 21-month low of 3.3 per cent in July,and the likelihood of a sovereign debt default by Greece looming large again.

The developments in Greece have rattled markets globally,with India’s BSE benchmark Sensex falling over two per cent yesterday.

Mukherjee said the growth in most advanced economies has declined in the second quarter of 2011 and emerging markets are witnessing a combination of moderation in growth and rising inflation.

“There is wide spread apprehension that even the tepid global economic recovery that we have seen so far,is stalling,” he said.