G7 urges OPEC to raise output

TOKYO: In an effort to control the ever-increasing crude oil price, the G7, Group of leading industrial nations has urged OPEC to raise production.

The G7 conceded that rising world demand and geopolitical concerns have contributed to elevated oil prices.

The G7 reiterated the need for producers to enhance refinery capacity and improve energy efficiency. They also said countries should avoid artificially lowering domestic energy prices through fiscal measures, as they work against the market-based adjustment of energy demand as well as rising gas emissions.

The cartel said it has asked the International Monetary Fund to conduct further research on the factors behind the recent surge in oil prices and its effects on the global economy.

World oil prices rose above US $100 a barrel at the start of the year, but have since dropped on an assumption that a US economic slowdown will depress global demand.

The finance ministers and central bank governors from Britain, Canada, France, Germany, Italy, Japan and the United States has just concluded their one-day meeting in Tokyo.