G8 finance ministers back steps against North Korea, Iran

LECCE, Italy (Reuters) - Finance ministers of the Group of Eight wealthy countries are committed to taking financial steps against North Korea and support measures against Iran to protect the financial system, they said on Saturday.

"We are committed to the effective and timely implementation of financial measures against North Korea as set out ... in U.N. Security Council resolution 1874," ministers said in the statement issued after their meeting.

"We endorse the FATF's (Financial Action Task Force) call for countries to protect the financial system from illicit financing and implement counter-measures against Iran, in particular to mitigate the risk posed by correspondent relationships with Iranian institutions," the statement added.

The U.N. Security Council approved a resolution on Friday that bans all weapons exports from North Korea and most arms imports into the state.

Western countries are also concerned about Iran's nuclear plans, and President Mahmoud Ahmadinejad has refused talks with six world powers over Iran's nuclear program.

Ahmadinejad won re-election by a margin of around two to one in a vote on Friday, according to the interior minister.

The 34-nation Financial Action Task Force (FATF) is an international anti-money-laundering body.

(Writing by Jo Winterbottom; Editing by Kevin Liffey)