G-20 Central Bankers in China Seek Alternatives to Currency War
- China, Japan, Europe ease as Latin American nations tighten
- Negative interest rates complicate central bankers' challenges
Chinese event staff walk past a sign one day before the start of the G20 Finance Ministers and Central Bank Governors Meeting at the Pudong Shangri-la Hotel in Shanghai on February 25, 2016.
Photographer: Rolex Dela Pena/AFP via Getty ImagesThis article is for subscribers only.
Officials from the world’s largest economies gathering in Shanghai this week will need to reconcile diverging monetary policies with calls for increased fiscal support -- all the while avoiding a currency war that few can afford.
While Group of 20 meetings have habitually agreed on the need to refrain from competitive devaluations, that objective has taken on new importance as China struggles to manage its slowdown with the risk of another currency devaluation lurking.