Leader of the Opposition in the Rajya Sabha and former Finance Minister Manmohan Singh has said a protracted United States-led war on Iraq could lead to recession in the global economy, badly affecting economies of developing countries.

''The war will have direct economic consequences for India. Thousands of Indians are working in West Asian countries and contributing to India's foreign exchange. Any disruption in the economies of those countries will have an unsettling effect on the life of our citizens and on the economy as a whole,'' he said.

He was talking to media persons after delivering the 54th convocation address of the Aligarh Muslim University in Aligarh on Thursday evening.

Singh said India's exports would be the first casualty if recession set in. ''This is a senseless war, completely avoidable, and it has caused a great setback to the efficacy of the United Nations,'' he said.

In reply to a question, he said the BJP-led NDA government at the Centre did not have the will power to carry on the economic reforms aimed at fitting in with a globalised economy.

''If they take a step forward, they go two steps backward, buckling under various pressures,'' said Dr Singh, architect of India's economic reforms programme.

''This government is directionless,'' he added.

To a question on the recent massacre in Kashmir, the senior Congress leader said the coalition government in the state could not be held solely responsible for what happened there. The Centre had greater responsibility to tackle cross-border terrorism, he added.

Crucial decisions relating to tackling insurgency were taken by the state government only in consultation with the Centre, he pointed out.

UNI