CCTV.com - CNTV English - CCTV News

China won't accept numerical targets on RMB exchange rate at G20

11-11-2010 14:09 BJT Special Report:5th G20 Summit in Seoul |

Watch Video

Play Video

China is fending off pressure to appreciate the yuan's exchange rate, ahead of the G20 summit. Senior officials repeated their stance, that the country will not accept any numerical targets. They also stressed the risks in the Fed's monetary easing are more important to be monitored at the summit.

It's the fifth gathering since the financial crisis exploded. Critics say the unity forged in crisis has given way to diverging national policies, due to the multi-speed recovery from the recession.

The pressure on the Chinese yuan's exchange rate is a mirror of the division. But in a briefing on China's outlook for the G20 summit, a senior official rejected attempts by other countries to set targets for yuan appreciation.

Cui Tiankai, Vice Minister of Ministry of Foreign Affairs, China said "China has been already advancing the reform of the RMB foreign exchange rate mechanism. But if any country wants to set a numerical target, demanding the Chinese yuan to appreciate a certain margin within a certain period, that is asking us to manipulate the currency exchange rate. And we certainly will not do that. "

China is calling on the summit to focus on the most fundamental structural problems of the global economy. This is crucial for the G20 summit as the world's premium platform for economic governance. China lists the US fed's move to flood money into its economy deserves more attention at the summit, because it is "irresponsible" as a major reserve currency country.

Zhu Guangyao, Vice Minister of Ministry of Finance, China said "The fed move doesn't recognize its responsibility to stabilize the global capital market. It ignores the impact the excessive liquidity has on emerging markets. The negative impact of the quantitative easing on world financial markets deserves attention and discussion at the G20 summit."

As of Wednesday, China's yuan had appreciated 2.9 percent against the US dollar since June 19th, when China pledged to increase yuan trading flexibility. Many economists say the appreciation is already considerable, but that does little to narrow the trade surplus. They say that's because the current account imbalance is caused by a structural imbalance in the world economy, rather than the yuan's exchange rate. China's trade surplus with the US widened to 27 billion US dollars in October, from 17 billion a month ago.

The G20 is at a crucial juncture evolving from an emergency mechanism to deal with the financial crisis, to one that coordinates global economic governance. Collaboration on economic policies is needed, rather than confrontation, to accelerate economic recovery and contribute to world economic stability.

 

Editor:Xiong Qu |Source: CNTV.CN

Hot Videos view more

The celebrations are still continuing as the victorious coach, Joachim Loew, has been honored for his achievement in his hometown of Freiburg.
Germany coach Loew honored in hometown of Freiburg

Chinese men´s national team continued its preparations for next year´s Asian Cup, as they managed a one-all draw against visitors Jordan during a football friendly in Harbin, the capital city of Northeast China´s Heilongjiang Province.
China held to 1-1 draw by Jordan

The defending world champs came into the contest with a perfect 6-and-oh record, but they would be in for a tough first half before opening things up in the second.
USA beat Slovenia 119-76 in quarter-finals

Hot Stories more

UK authorities believe killer of James Foley is a British national

Across the UK the hunt is on for James Foley’s killer, who authorities believe is a British national. As Richard Bestic reports from London, Prime Minister David Cameron cut short his summer break to lead his government’s response.

Israeli war jets renews Gaza strike as truce talks stalled

Three Palestinians were killed and 40 others wounded in the intensive Israeli war jets´ airstrikes on the Gaza city on Tuesday night, shortly before an end of a 24-hour ceasefire in the Gaza Strip,

Missouri police arrest dozens after violent night

As the protests in the town of Ferguson, Missouri turned violent with police facing ´heavy gunfire´ from some ´criminal elements´, cops fired tear gas, stun grenades and arrested 31 demonstrators on Monday night.

Picture in news more

More Video News

Choose TV Program