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Darling calls for continued stimulus spending

3rd September 2009

Chancellor Alistair Darling has urged against abandoning global economic stimulus spending ahead of his meeting with G20 finance ministers.

The chancellor is due to meet his international counterparts tomorrow in London ahead of a meeting between the world's leaders in the US later this month.

There is growing concern that Germany and France, which emerged from recession last month, will push for cutbacks in stimulus spending.

Both countries reported growth in gross domestic product of 0.3 per cent in the second quarter of 2009 - an increase that few economists had anticipated.

However, speaking to The Independent, Mr Darling said: 'There is a real risk that either governments or people generally think "We have done that, we are on the path to recovery".'

He added: 'We are beginning to see the fruits of that action. But it is too early yet [to abandon it]. We must not get ahead of ourselves.'

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