India cannot remain 'insulated' from the turmoil in global banking and financial system and the US bailout would not be sufficient to solve the problems of the world economy, Commerce and Industry Minister Kamal Nath said in Paris.

Participating in the India-EU Business Summit, which was also addressed by Prime Minister Manmohan Singh on Tuesday evening , Nath said India would want new rules for the world financial system as the stakes are high not only for the US and other developed countries but also for the developing nations.

He said while the short and medium term fundamentals of the Indian economy were sound, the country "cannot remain insulated in the long term from such a crisis. The crisis, which we face today, as President Sarkozy said and was endorsed by Prime Minister Manmohan Singh, has to be addressed by the global community".

With European banks and mortgage firms also getting bruised by the troubles in the Wall Street, the contagion is spreading fast.

"The emerging new financial architecture is not confined to one country," Nath said at the summit hosted by the French business chamber MEDEF along with its Indian counterparts, FICCI and CII.

As a 'responsible' member of the global community, India would want to participate in the restructuring of the bleeding financial markets, Nath said. He offered India's association in the endeavour for the banking and financial restructuring to France and the European Union.