G7 finance chiefs remain apart on forex market, coordinated policy

Finance chiefs of the Group of Seven (G7) remained apart over the foreign exchange rate and coordinated step to boost public spending so as to improve world economy growth after their two-day meeting in Sendai in northeast Japan on Saturday.

Japan and the United States failed to narrow their gap over the foreign exchange market. Japan is mulling to continue its monetary easing if necessary after recent appreciation of the Japanese yen, while the U.S. Federal Reserve has sealed off its loosening policy.

Meanwhile, Japan called for boosting public spending so as to drive global economy, but Germany is reluctant to following the suggestion.

Local reports said that the policy gap among the finance chiefs may shadow the outcome the G7 leaders Ise-Shima summit which will be held next week in Mie Prefecture in central Japan.

During the finance ministerial meeting, the ministers agreed to adopt an action plan to block funding to terrorists group through information sharing and stricter rules on some financing transaction.

The finance ministers and central bankers cited that terrorism, the refugee crisis and a potential exit of Britain from the European Union as risks facing the global economy and complicating the economic environment. Endit