Geithner: inflexible currencies are biggest monetary problem

AFP - French Presi

AFP - US Treasury Sec

French President Nicolas Sarkozy and US Treasury Secretary Timothy Geithner on Thursday called for more flexible exchange rate regimes at a G20 meeting on global monetary reform in China.The pair, speaking at the start of the talks in the eastern Chinese city of Nanjing, also urged a widening of the basket of currencies underlying the IMF's international reserve asset, while keeping the dollar and euro stable.

French President Nicolas Sarkozy and US Treasury Secretary Timothy Geithner on Thursday called for more flexible exchange rate regimes at a G20 meeting on global monetary reform in China.The pair, speaking at the start of the talks in the eastern Chinese city of Nanjing, also urged a widening of the basket of currencies underlying the IMF's international reserve asset, while keeping the dollar and euro stable.

Group of 20 nations will affirm a commitment to avoid weakening their currencies to gain a trade advantage, according to a draft statement prepared for a meeting this week in Washington, Bloomberg BNA reported. The statement, seen by a Bloomberg BNA reporter, maintains a February pledge to “move more rapidly toward more market-determined exchange rate systems and exchange-rate flexibility” and to refrain from competitive devaluations. Meetings of finance ministers and central bankers start Thursday.

French President Nicolas Sarkozy and US Treasury Secretary Timothy Geithner on Thursday called for more flexible exchange rate regimes as G20 nations met on global monetary reform in China.The pair, speaking at the start of the talks in the eastern city of Nanjing, also urged a widening of the basket of currencies underlying the IMF's international reserve asset, while keeping the dollar and euro stable.