Putin: Debt crisis deteriorating in U.S., Europe
SOCHI. Sept 16 (Interfax) - The prospect of resolving the debt crisis in Europe and the United States is cloudy, said Prime Minister Vladimir Putin.
Putin said at an economic forum in Sochi that he does not see clarity in recovery prospects for major global economies.
"The debt crisis in Europe and the United States is being aggravated by their economies being on the brink of recession. There was no and there is no clarity concerning their recovery prospects, unfortunately for all of us, including for Russia," he said.
Moreover, "this prospect is probably even farther out of reach now than we thought three years ago," he added.
The crisis of industrialized states' sovereign debt requires that politicians, economists and investors reassess the traditional approaches, Putin said. "The summer-time tremor in the global economy demonstrated once again that the development models, based on debt growth, are not working," he said.
It looks like the recent leaders of economic development are surrendering their positions and "can no longer be an example of carefully-weighed macroeconomic policy for the rest of the world," Putin said.
The centers of global growth have been shifting, and developing nations will demonstrate the most confident economic upsurge in the coming ten years, he said. The pace of their growth will be 2.5 times faster than that of developed economies, Putin said.