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Economy is major G7 topic

A man protests the Group of Seven summit in Tsu, central Japan, today near where the G-7 leaders are holding meetings. The banner worn by the protester reads: “Don't allow Obama's Hiroshima visit.”
Japan seeks to avert crisis

ISE, Japan — Japanese Prime Minister Shinzo Abe urged fellow leaders of the Group of Seven advanced economies to avert another global crisis by forging a more urgent, coordinated response to the faltering global recovery.

Abe and his counterparts sat down at a big round table for the first of their summit working sessions after strolling through the grounds of Ise Shrine, a tranquil, densely forested landmark that is considered the holiest site in Japan’s indigenous Shinto religion, and then joining a group of children in a tree planting ceremony.

An aide said Abe had data charts to dramatically illustrate the severity of the recent slump in commodity prices and the slowdown in China.

“There is a concern that the sluggish economy might last some time, and that Abe hopes to share a common notion about the potential risks,” said Hiroshige Seko, a deputy chief Cabinet secretary.

The G-7 gathering dovetails in many ways with Abe’s long-term diplomatic, political and economic agenda. A dramatic statement about global economic risks and a strong show of support for public spending to help spur growth could help Abe justify extra stimulus and possibly provide political cover for postponing an unpopular but badly needed increase in Japan’s sales tax next April.

The leaders were expected to turn their attention to trade, politics and diplomacy, and to climate change and energy during talks later today.

The annual summit brings together the leaders of Britain, Canada, France, Germany, Italy, Japan and the United States. It is taking place amid extraordinarily tight security around the remote summit venue. Protesters were kept far away.

Many of the issues to be discussed during the two days of talks are linked to other Abe policy priorities. They include maritime security, code for concerns over China’s expanding presence in disputed areas of the South China Sea; initiatives on global health, including funding for fighting terrorism and pandemics; and a focus on women’s empowerment.

Both in the G-7 meetings, and in “outreach” sessions with other countries’ leaders on the sidelines of the summit, the agenda includes what Japan calls “quality infrastructure investment.” Since taking office in late 2012, Abe has circled the globe, visiting dozens of countries to promote sales of Japanese infrastructure technology, especially coal and gas-fired power plants and bullet trains.

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