Speaking on behalf of the European Union at the UN General Assembly, Mr Sarkozy said the world's political leaders had to take the initiative to resolve the crisis threatening the global economy.

'It's the duty of heads of state and government of the countries most directly concerned to meet before the end of the year to examine together the lessons of the most serious financial crisis the world has experienced since that of the 1930s,' Mr Sarkozy told fellow world leaders.

'Let us rebuild together a regulated capitalism ...in which banks do their job, which is to finance economic development rather than engage in speculation,' Mr Sarkozy said.

He did not give details about the summit he envisioned. -- AFP