G-20 declaration to call for more efforts for resolution on currency row

G-20 declaration to call for more efforts for resolution on currency row

2010-11-11 15:01:54 GMT+7 (ICT)

SEOUL (BNO NEWS) -- The G-20 Seoul declaration is expected to call for a resolution to the currency row before France hosts the next meeting in late 2011, local media reported on Thursday quoting South Korean officials.

The local summit preparation committee said the Seoul Declaration, to be announced Friday is expected to fully endorse the Gyeongju communique agreed upon by finance ministers from the G-20 countries last month, Yonhap news agency reported.

The finance ministers reached an understanding to move toward a more market-determined exchange system to refrain from competitive devaluation of currencies, and calling for advanced countries to be vigilant against excess volatility and disorderly movements of exchange rates.

"Because of the present opposition, leaders from the 20 largest economies may agree on a compromise that calls for a resolution to the standoff before the next G-20 meeting takes place," Yonhap reported, and pointed out that France has already expressed willingness to tackle the critical agenda to preempt the possibility of a trade war.

The official said that before a viable solution is reached next year, countries could be asked to announce a detailed action plan with the International Monetary Fund (IMF).

In addition to the currency row, officials said the G-20 leaders will support the Korea Initiative that combines the establishment of a global financial safety net for balanced development.

Seoul is also pushing to incorporate a pledge by G-20 members to expand support for developing countries.

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