Lima  - Peruvian President Alan Garcia on Friday defined the financial and economic crisis that is currently affecting the world as both a "painful childbirth" and "growing pains," rather than an outright illness affecting global capitalism.

"This is a wealth crisis and a system expansion crisis and it should not be treated with statism or protectionism," Garcia said in Lima, as he opened the CEO summit that precedes this weekend's APEC Leaders' Meeting.

"I claim that the world is not sick but is rather suffering from growing pains," he said.

Garcia, a staunch advocate of free trade, insisted that trade liberalization is the best possible way forward even at a time of crisis.

Lima - Peruvian President Alan Garcia accepted the resignations of his entire cabinet Friday in the face of a brewing corruption scandal over petroleum concessions.

"This cabinet will leave with their heads high, and Peru will reflect on the good work that they have contributed," Garcia said. "The road ahead of us is wide open."

Lima - Peru and Canada on Thursday signed a fr