'Recovery of US mkt linked to developing mkts'

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Washington: The recovery of American economy is closely linked with the economic recovery in other parts of the world, in particular the previously rapidly-growing markets, the US Treasury Secretary Timothy Geithner said on Friday.

The US economy is currently facing its worst ever crisis after the Great Depression of 20th Century, and has been in depression since December 2007.

Recovery in the United States depends significantly on establishing recovery in those large and previously rapidly-growing markets, the Treasury Secretary told foreign journalists after his ministerial level meeting with the G-7 countries.

We all recognise that recovery in the world depends on recovery in the United States. Recovery in the United States depends on recovery in the financial system, he said in response to a question.

But our recovery in part will depend on the strength of what we see happen around the world, and we all going to be more effective if they are done in parallel with awareness of specific approaches other countries are taking, he said.

Observing that major economies across the globe are coming together to face global economic crisis, he said I've never seen this level of common commitment and this degree of support for a coordinated policy and this level of integration between what central banks have to do, what governments have to do with fiscal policy and what the financial authorities have to do to get financial systems working.

Geithner said: If you just watch the pattern of action, you see a lot of policies initiated in one country, replicated in other countries. And there's still a bit of that going on.

We're all learning from the approaches others have adopted. The US, he said is committed to working very closely with countries around the world. And we will continue to listen and provide suggestions, to lay out our ideas, with as much care as we can, to try to build consensus on as broad a basis as possible, he said.