‘China willing to work with others to oppose trade protectionism’
FINANCE chiefs of the Group of 20 (G-20) nations renewed their pledge to finalise an overhaul of global bank-capital rules, but stopped short of making progress on certain proposals that have led to a standoff between Europe and the United States.
In the statement capping a two-day meeting, here, the G-20 urged the Basel Committee on Banking Supervision to finalise the Basel III reforms “without further significantly increasing overall capital requirements”, sticking to previous language.
After the work already missed a year-end deadline, the document didn’t include a new time frame. “Those who weighed in expressed the will that these negotiations resume swiftly and can be concluded,” said Bundesbank President Jens Weidmann.
Further progress on the substance of the proposals was now in the hands of the Basel Committee itself, said Weidmann.
Bloomberg BEIJING: China opposes various forms of trade protectionism and supports free trade, said VicePremier Zhang Gaoli yesterday, reaffirming Beijing’s stance amid worries over weak global demand.
“China is willing to work with other countries to oppose various forms of trade and investment protectionism,” said Zhang at the China Development Forum, here.
“We should unwaveringly push forward economic globalisation, we cannot stop our footsteps because of temporary difficulties.”
Zhang said world policymakers should make globalisation process more “inclusive” by putting more emphasis on equality.
“The world economy is in a deep adjustment, growth is weak and trade protectionism rising,” said Zhang.
Meanwhile, a senior minister said China’s policy of restricting market access was important for domestic growth, even as President Xi Jinping sought to project the country as a world leader in fighting protectionism.
“In some areas, we determine that a certain percentage of the market share must be controlled by domestic players, this is a last resort,” said Miao Wei, who heads China’s Ministry of Industry and Information Technology.
Other countries had policies restricting the import of some of China’s equipment and products, while there was demand for those products in China, said Miao.
“So we must resolve this on our own, or else it would have a major impact on our growth.”
On another note, People’s Bank of China (PBoC) governor Zhou Xiaochuan said growth prospects had improved in the world’s second-largest economy, but its monetary policy remained prudent and neutral.
“China’s economic growth rate was stable overall, with growth prospects improving.
“China will continue to implement active fiscal policy, and prudent and neutral monetary policy,” he said, according to a post on the PBoC website. Reuters
Bundesbank President Jens Weidmann. People’s Bank of China governor Zhou Xiaochuan says growth prospects have improved in the world’s No. 2 economy, but its monetary policy remains prudent and neutral.