China dismisses Brazil currency proposal at WTO, criticizes QE

GENEVA (Reuters) – China blamed quantitative easing for damaging emerging economies and rejected Brazil’s proposal of using world trade rules to compensate for currency misalignments, during a debate at the WTO yesterday.

“We, together with many other countries, have been critics of this irresponsible and beggar-thy-neighbour policy,” China’s deputy permanent representative to the World Trade Organization, Zhu Hong, said, referring to the monetary stimulus policy often shortened to QE.

“It has a lingering negative impact on developing, emerging economies in particular,” Zhu said during a debate on currency fluctuations at the WTO in Geneva, according to a transcript provided by a Chinese official.

The meeting was called to discuss Brazil’s proposal that WTO rules should include a system for dealing with currency misalignments.

Brazil’s Ambassador Roberto Azevedo, who some trade diplomats say is a contender to replace WTO chief Pascal Lamy when he steps down next year, has gradually hardened up his demands on the issue.

After getting WTO members to agree to examine the available literature on the subject last year, Brazil circulated a proposal on Nov 5, explaining that WTO rules contained language about dealing with currency-related trade distortions but no adequate instruments to act directly.


About these comments

The comments section is intended to provide a forum for reasoned and reasonable debate on the newspaper's content and is an extension of the newspaper and what it has become well known for over its history: accuracy, balance and fairness. We reserve the right to edit or delete comments which contain attacks on other users, slander, coarse language and profanity, and gratuitous and incendiary references to race and ethnicity.

Get the day's headlines from SN in your inbox every morning:

Most Read This Week

  1. Back in court: In this Keno George composite photo, Barry Dataram (left) and his wife Anjanie Boodnarine at court yesterday to answer three charges including fleeing the jurisdiction.

    Dataram to serve eight years in jail after guilty plea to new charges

  2. Yansen Brusche

    Ulverston mom of four stabbed to death by children’s father

  3. Ameer Abdool Subrati

    Man dies after bandits target overseas-based couple at Herstelling

  4. Fast food lovers inside KFC yesterday

    KFC back in business

  5. US Ambassador Perry Holloway and Finance Minister Winston Jordan shake hands after the signing of the agreement yesterday.

    Guyana inks pact for reporting to IRS on holdings of US citizens

  6. Updated: Man dies after bandits attack overseas-based Guyanese at Herstelling

  7. Barry Dataram

    Datarams getaway passports had been issued to other people

  8. Bharrat Jagdeo

    Crime has never been this bad – Jagdeo

  9. Cops grilling taxi driver after passenger robbed of $6M on seawall

Recommended For You