IMF chief in Malaysia

The head of the International Monetary Fund, Michel Camdessus, has held talks in Malaysia with the prime minister, Mahathir Mohamad, about the financial crisis afflicting east Asia.

He said afterwards he was encouraged by the steps taken so far in Malaysia, which hasn't sought help from the IMF, but taken measures on its own to cut state spending and excessive credit.

Mr Camdessus arrived in Kuala Lumpur from Indonesia which on Thursday agreed the terms of a rescue package with the IMF -- however its currency, the rupiah, has continued to slide in value.

Elsewhere, there were sharp gains on the stock market in Japan and Hong Kong.

From the newsroom of the BBC World Service