IMF sees no firm evidence that currency wars are nearing

Monday, 13 February 2017 00:53 - - {{hitsCtrl.values.hits}}

WASHINGTON (Reuters): The International Monetary Fund does not see firm evidence that currency wars are nearing but would like to see Group of 20 major economies reaffirm their commitment to free and fair trade this year, IMF spokesman Gerry Rice said on Thursday.

“I don’t see evidence of firm policy decisions made that would lead us to suggest that we’re heading for currency wars. So I think that would be premature,” Rice said in response to a question at a regular news briefing.

US President Donald Trump’s confrontational rhetoric on trade and suggestions that the dollar is overvalued have complicated global economic cooperation efforts.

Reuters earlier reported that G20 host Germany intends to press the group to reaffirm its commitment to promoting free trade, resisting currency wars and fighting climate change when finance ministers and central bank governors meet in March in Baden Baden. Asked whether the IMF would support these efforts at the G20, Rice, said free and fair trade were “tenets” of the IMF.

“We think that trade that is fair, free, ... well implemented, benefiting all, is an important factor for prosperity for the world. We would like to see those policies pursued.”