Developing world leaders urge fair economic system

By Alastair Sharp and Cynthia Johnston

SHARM EL-SHEIKH, Egypt (Reuters) - The world needs a financial system that is fairer to developing states which have suffered most in a crisis caused by rich countries, leaders from a group of developing states said on Wednesday.

The presidents of Cuba, Egypt and others were addressing a summit of the Non-Aligned Movement, which groups 118 countries meeting in the Egyptian Red Sea resort of Sharm el-Sheikh.

"The developing countries were the most affected by the financial crisis," Cuban President Raul Castro told the summit.

"And as usual, the wealthy countries were the source of the current crisis, which was affected by the ... illogic of the international economic order that depends on blind market principles and consumption, and wealth of the few," he said in an Arabic translation of his speech.

Castro called for creating an "equitable economic system".

The financial crisis has hurt Cuba by slowing production and pushing some factories to close in the import-dependent Caribbean island. Other developing nations, such as Egypt, have also seen growth rates slide.

"We face the largest part of its repercussions and pressures and suffering," said Egyptian President Hosni Mubarak, whose country has taken over the chair of NAM from Cuba.

"We call for a new international political, economic and trade order -- a more just and balanced order that prevents discrimination and double standards, achieves the interests of all, takes into account concerns of developing countries and establishes democratic dealings between rich and poor states."