G-20 finance ministers agree to steer clear of currency manipulation

Finance ministers for the G-20 nations pledged this weekend to avoid devaluing their currencies in order to boost their trade exports, according to several press reports.

Meeting in Gyeongju, South Korea, the ministers come to a consensus that the G-20 countries “move towards more market determined exchange rate systems that reflect underlying economic fundamentals and refrain from competitive devaluation of currencies,” according to Bloomberg.

The news comes as China has fallen under increasing pressure from the United States to not keep the yuan undervalued. Last month, the House passed a bill that would place import duties on China and other countries who undervalue their currencies.

The G-20 ministers have typically avoided making statements about currency devaluation in order to not isolate China.