Rich nations should help in curbing commodity speculation: G-24

TOKYO: Developing nations including India today asked advanced economies to adopt policies to check volatility and speculation in commodity prices which is threatening food securities of the vulnerable countries.

The Group of 24 developing countries raised this concern at a meeting chaired by Indian Finance Minister P Chidambaram on the sidelines of IMF-World Bank meet here.

"Food and fuel prices remain highly volatile with spikes in grain prices threatening food security in poor and vulnerable countries.

"We continue to urge AEs (advanced economies) to adopt policies that reduce volatility of capital flows and speculation in commodity prices, while resisting protectionism and phasing out export subsidies," a joint communique of the grouping said after the meeting.

The recent huge capital infusion by the US, euro zone countries and Japan to stimulate their economies is a cause of concern for developing countries like India as prices of commodities including crude oil may go up.

Besides India, other members of 'Group of Twenty-Four on International Monetary Affairs And Development' include Egypt, South Africa, Brazil, Mexico, India, Pakistan and Syria.

It also asked the advanced economies to take decisive steps towards addressing the policy uncertainties that are impeding the restoration of confidence.

The statement said immediate and concerted action is needed to boost global growth.