G-20 Faces Growth Threats as Syria Adds to QE Exit Risks

Leaders from the Group of 20 nations said stimulus pullback in developed countries heightens the threat of volatile capital movement that’s hurting emerging economies as the Syrian conflict shadowed the two-day summit.

“Our central banks have committed that future changes to monetary policy settings will continue to be carefully calibrated and clearly communicated,” the Group of 20 said in a communique issued after the two-day forum in St. Petersburg, Russia. “We reiterate that excess volatility of financial flows and disorderly movements in exchange rates can have adverse implications for economic and financial stability, as observed recently in some emerging markets.”