Singapore says must keep financial markets open

LONDON, March 27 (Reuters) - Asia is still opening up its financial markets to foreign players and countries should not seek to insulate themselves, Singapore's finance minister, Tharman Shanmugaratnam said on Friday.

"In Asia the basic direction of travel is still towards opening up financial markets, allowing for continued increased presence of foreign financial institutions," he told a financial conference.

A global financial market with enhanced national supervision was still good for everyone, he said.

"We should recognise that former solutions are not solutions (and should not) attempt to insulate ourselves from volatility and the costs that come with open markets," Shanmugaratnam said.

The G20 group of nations meet in London next week and are set to reiterate the need to avoid protectionism as global trade shrinks amid a sharp downturn in economic growth.

(Reporting by Huw Jones, editing by Keith Weir/Ruth Pitchford)