The Group of Eight leaders plan to focus on financial market turbulence stemming from the U.S. subprime mortgage turmoil and the impact of nearly $100-per-barrel oil prices as top economic agenda items at their July summit in Hokkaido, draft discussion papers show.

The G8 leaders are also expected to discuss the need for China to ease its grip on the yuan to help unwind global current account imbalances, while seeking efforts from developed nations to set up international rules to ensure food safety, including issues related to mad cow disease and Chinese-produced food, according to the papers.

"Looking forward, global growth will be solid, while risks to the outlook are firmly on the downside," the papers say, citing "uneven conditions" in financial markets, including tumbles in global stock prices amid the U.S. subprime crisis, and the flow of speculative funds into raw materials markets that pushed oil prices above $100 a barrel in early January for the first time ever.