IMF seats and yuan revaluation
Wednesday 22 September 2010
The Europeans are willing to make a trade-off between better representation for China in the International Monetary Fund and a more “responsible” attitude by Beijing on revaluation of the yuan, a European senior diplomat said in Brussels.
“On the European side, there is a real commitment to move towards a better balance” to the advantage of the emerging countries in terms of representation in international bodies, he explained. The Europeans are willing to be “constructive” on this issue. However, “with greater representation come greater responsibilities,” he argued, referring to Europe’s repeated requests to China to revalue its currency. “All these questions are related,” added the diplomat.
Beijing has nevertheless just announced that pressure for a revaluation of the yuan is “ill advised and short-sighted,” in reaction to new US criticism of the Chinese exchange rate policy.
The European Union and China will hold a summit, on 6 October in Brussels, after a wider meeting of the leaders of 46 European and Asian countries (ASEM – Asia-Europe Dialogue), on 4 and 5 October. The IMF will hold its annual meeting the same week, and is set to address the matter of the assignment of seats in the Executive Board, which divides the organisation’s member countries.
Wednesday 22 September 2010
The Europeans are willing to make a trade-off between better representation for China in the International Monetary Fund and a more “responsible” attitude by Beijing on revaluation of the yuan, a European senior diplomat said in Brussels.
“On the European side, there is a real commitment to move towards a better balance” to the advantage of the emerging countries in terms of representation in international bodies, he explained. The Europeans are willing to be “constructive” on this issue. However, “with greater representation come greater responsibilities,” he argued, referring to Europe’s repeated requests to China to revalue its currency. “All these questions are related,” added the diplomat.
Beijing has nevertheless just announced that pressure for a revaluation of the yuan is “ill advised and short-sighted,” in reaction to new US criticism of the Chinese exchange rate policy.
The European Union and China will hold a summit, on 6 October in Brussels, after a wider meeting of the leaders of 46 European and Asian countries (ASEM – Asia-Europe Dialogue), on 4 and 5 October. The IMF will hold its annual meeting the same week, and is set to address the matter of the assignment of seats in the Executive Board, which divides the organisation’s member countries.