Japan Calls for Increased Monitoring of Currency Market Movements

Japan made a strong appeal at the Group of Twenty (G20) meeting for countries to pay greater attention to excessive movements in the foreign exchange market. This emphasis was made by Masato Kanda, Deputy Finance Minister for International Affairs. According to Kanda, Japan highlighted the necessity of exercising greater caution regarding the excessive volatility caused by speculation in the foreign exchange market. He also pointed to the side effects of persistently high interest rates in some countries, which can spread to the global economic space. The appeal came after the first day of the G20 meetings of finance ministers and central bank governors in Rio de Janeiro, Brazil. Here, the increasing instability of global financial markets was intensely discussed, and the risks to the global economy were once again brought to the forefront.