Powell says US and allies must address world poverty

US Secretary of State Colin Powell acknowledged yesterday that the United States and its allies must do more than seek to defeat terrorism by military means.

"We have to go after poverty, we have to go after despair, we have to go after hopelessness. We also have to put hope back in the hearts of people," Mr Powell said at the World Economic Forum in New York.

His portrayal of the benign aspirations of US foreign policy comes as it finds itself the subject of some lively criticism at the forum, which this year includes many politicians of the developing world, religious leaders and and critics of US-led globalisation.

At a seminar on "Understanding Global Anger" - at which the chairman and chief executive of McDonald's, Mr Jack Greenberg, found himself lectured on the moral aspects of globalisation - the moderator, Prof Frederick Schauer, noted that half the discussions about such anger had focused on the US.

In his defence, Mr Greenberg said McDonald's had been co-operating with non-governmental organisations before the term NGO became known.

Some prominent European voices were also heard cautioning the US about "going it alone" in its new war.

European Union foreign policy chief Mr Javier Solana said on the panel with Mr Powell: "I don't think we can build a coalition in which everybody does not feel comfortable."

French Foreign Minister Mr Hubert Vedrine called for continuing international consultation in the war against terrorism. NATO secretary-general Lord Robertson said NATO was an essential part of the war on terrorism, and chided Europe for being under-militarised.

The panel also heard a plea from the Grand Mufti of Bosnia, Mustafa Ceric, that muslims must be included in the process of peacemaking in the world through better representation on the Security Council.

Mr Powell, the most senior US government figure at the conference, said: "We have to make sure that, as we fight terrorism using military means and legal means and law enforcement and intelligence means . . . we have to show people who might move in the direction of terrorism that there is a better way."

While the architects of the 1993 Oslo peace accords - Israeli Foreign Minister Mr Shimon Peres and Palestinian parliamentary speaker Mr Ahmed Korei - are attending the forum, officials dampened speculation of any movement on the Middle East crisis. Mr Powell was scheduled to meet Mr Peres, who in turn may talk to Mr Korei.

An Israeli official said Mr Powell and Mr Peres would discuss ways to advance a ceasefire, but a State Department spokesman described it as "an update, a review of the situation".

German Chancellor Mr Gerhard Schröder joined in upbeat comments from business leaders about the economy, saying: "There are welcome signs that, during the course of the year, there will also be better economic developments in the euro zone and German economies."

Some of the most alarming predictions about the future came from scientists focusing on growing dangers of biological threats, at a session inspired by the Anthrax attacks in the US last year.

New biological weapons could easily fall into the hands of dissident groups, warned Britain's Astronomer Royal, Sir Martin Rees, who said: "Extreme pessimism seems to me to be the only rational stance."

Extreme pessimism dominated a seminar on climate change, where Mr Howard Ris, president of the Union of Concerned Scientists, warned of future conflict as nations found themselves confronted with problems due to new climate patterns.

"Climate change will become a security issue. Hundreds of millions of people will find themselves fighting new threats to survival," he said.