And finance ministers from the world are trying to ease tensions in the currency markets

WASHINGTON - d. B. A






Seek and finance ministers from the world to calm the growing tension in the currency markets during the annual meetings of the IMF and the World Bank, which began in Washington yesterday.






And the holding and finance ministers of the Group of Twenty major closed-door meeting before the start of open meetings where the United States and adopt a tough stance against Europe, China and other emerging economic powers to compel them to allow their currencies to appreciate against the dollar and other major currencies.






It is not to mention China explicitly warned U.S. Treasury Secretary Timothy Geithner that the rising economic powers into the global economy recovers in the face of danger, then, did not show willingness to allow their currencies to appreciate against other currencies.






And Geithner said in a statement: "Achievements first in danger of destruction because of the limited progress we make in the direction of economic growth depends more on domestic demand in countries that achieved a trade surplus of externally and because of the wide scope of intervention in exchange markets under the concern of nations to reduce the value of their currencies to the local market value real ".






But the Chinese central bank governor Xiaohuan Shaw warned that the "shock therapy" of the Chinese yuan would be dangerous. He pledged Xiaohuan a gradual increase of the value of Chinese currency, which it considers Europe and the United States less than the value of a large rate.






European officials have expressed earlier this week expressed concern about the growing strength of the euro against the dollar at a time when officials are opposed to emerging countries the idea that their country's currency less than its true value.






And pledged that Japan has intervened twice to reduce the value of its currency to continue to deal with all the "underlying economic risks," including the rise of the value of the yen.






And intensify U.S. and European officials to pressure China to allow its currency to rise.






On the other hand received the emerging countries to download rich countries responsible for the depreciation of their currencies in the market because of the adoption of interest rates very low in the United States and the European Union and Japan, which leads to a large influx of investment to emerging countries.






For his part, urged the International Monetary Fund chief Dominique Strauss both sides to move away from a modern "war of currencies" during his opening speech at the meeting of the IMF today.






He called on governments to avoid the use of their exchange rates as a political weapon in international relations.






And said it was "History tells us that this is not a solution .. What we need is more cooperation on the monetary side and the international system."






On the other hand warned against developing countries from the repercussions of the significant reductions in public spending as a result of inflation, the richer countries of their debt against the backdrop of the global economic crisis.






In the view of these countries to reduce spending in rich countries threatens a new wave of degradation of the global economy.






This came during a meeting of finance ministers from the Group 24 of the bloc of developing countries in Washington, as ministers warned of escalating international dispute over pricing of global currencies.






And delivered a cabinet responsible for the flow of foreign investments to the heavy trailing of developing countries to lower interest rates in the rich countries, which make them attractive for investments.






Reflect the strong statements of finance ministers from developing countries, extreme inequality in the recovery of the global economic crisis between the countries of the world. Emerging economies such as China, India and Brazil returned to the pre-crisis growth rates, while still in the United States, Japan and European countries are struggling to recover from the recession in the very high rates of unemployment.






He called on the Brazilian Central Bank President Fernando Mirelez agreement "multilateral" between the countries of the world on exchange rates. But the potential to reach such an agreement remains weak.






She said French Finance Minister Christine Lagarde said the dispute over exchange rates will not solve the "between day and night," but urged the need to remain calm in dealing with the issue and called for "a climate of cooperation and trust and not to a climate of unrest and volatility and the war."






With the arrival of the euro to 4.1 dollars during the current week officials expressed in euro zone countries for their fears of the decline in exports as a result of their high value of the common European currency.






Jean-Claude Trichet, president of the European Central Bank said yesterday that the currencies of countries in the world must reflect the reality of the situation of the economies of these countries in reference to the depreciation of the currencies of some countries compared with the strength economies such as China.






Said Chris Turner, an economic analyst in the "Aye. ING. Commercial Bank" The officials of the euro countries, they began "Eroon written on the walls" is that "the U.S. economy is weak with concern the emerging markets of excessive growth push Asian nations to pump cash reserves of foreign to Europe, which led to the appreciation of the euro. "






For his part, said Minister of Finance of Canada Jim Vlaretti said that all parties to resist the actions "protectionism," he said, adding that it is up to China in order to fulfill its promises to allow its currency to rise.
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