Key facts
- Pan Gongsheng urged a broader view on global imbalances, beyond trade and exchange rates.
- He stated that current account and financial flows require attention.
- Surplus and deficit countries must share responsibility for global economic equilibrium.
BEIJING, Oct 15 (Reuters) - China's central bank governor called for looking beyond current account and exchange rate adjustments when addressing global imbalances, in a defense of the country's policies against criticism from trade partners.
Pan Gongsheng, governor of the People's Bank of China, urged a "more comprehensive analytical perspective" on global imbalances during a G20 meeting of finance ministers and central bank governors on Thursday in Bangkok. According to a central bank statement, Pan said attention should be paid not only to the current account but also to money flows in financial channels.
He stated that global imbalances cannot be resolved through exchange rate adjustments alone and that deficit and surplus countries should collaborate to achieve a dynamic equilibrium in the global economy.