Sunday 12 December 2010 10:32 pm

Obama to talk to US bosses on economy

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US President Barack Obama will hold a one-day summit of chief executives on Wednesday as part of a renewed effort by the White House to build support from among business leaders for his economic agenda.

The administration expects bosses from Google, Cisco Systems, International Business Machines, American Express, Dow Chemical and Pepsico to attend the meeting to discuss trade, tax, regulatory issues and the deficit.

The Obama administration wants to persuade US firms to release some of the $1.93 trillion (£1.22 trillion) in cash and other liquid assets they are thought to be hording.

The Federal Reserve said last week that cash as a share of total assets is at the highest level it has been in a half-century. President Obama is keen for America’s biggest companies to invest that money in expansion and job creation.

The summit will include substantial discussions on overhauling the tax code and cutting the budget deficit as well as discussions over providing “a balanced approach to regulations.”

The meeting will be held in private in contrast with some previous White House meetings involving business leaders. It is expected that holding the meeting in private will allow business leaders to speak more candidly than the have felt able to in previous more public meetings.

While Obama has met with chief executives since the start of his administration some have complained he has ignored their views. Business leaders have also expressed concern at the President’s occasional sharp criticism of multi-national companies, and his administration’s regulatory and tax policies.