5-Oct-2010 10:40 AM

IMF urges cooperation to avoid global currency war

International Monetary Fund CEO Dominique Strauss-Kahn urged the world’s major economies to do more to avoid a global currency war, through “discussing the value of the currencies, trying to adjust what has to be adjusted, fighting against global imbalances” (Xinhua, 03-Oct-2010). Mr Strauss-Kahn added that if economic policymakers did not work together, there would be a new crisis “of countries trying to find domestic solutions to a global problem”.

International Monetary Fund: "We succeeded in avoiding a bigger crisis thanks to economic coordination especially in monetary policy and in fiscal stimulus. But today we have another threat which is that this willingness for consensus and cooperation has decreased. And we see around the world a possibility of the beginning of a currency war," Dominique Strauss-Kahn, CEO. Source: Xinhua, 03-Oct-2010.