U.S. and Japan agree to address Ukraine’s currency volatility, economic challenges

TOKYO, July 12 (Reuters) – U.S. Treasury Secretary Janet Yellen and Japanese Finance Minister Shunichi Suzuki agreed on Tuesday to further strengthen bilateral ties and work together to tackle rising food and oil prices. energy heightened by the Russian war in Ukraine.

They said the war had increased exchange rate volatility, which could have adverse consequences for economic and financial stability, and pledged to continue to consult closely on foreign exchange markets and to “cooperate as appropriate”. ‘as appropriate’ on monetary issues, in line with their commitments under the Group of Seven (G7) and the Group of 20 economies.

The two leaders also urged China and other non-Paris Club creditors to cooperate “constructively” in developing debt remedies for low-income countries facing debt overhang, and stressed the need for coordination to ensure equitable burden sharing between creditors of Sri Lanka and other vulnerable middle-income countries.

Their joint statement also addressed issues ranging from climate change to global tax reforms and the cap on Russian oil prices that the United States has proposed to prevent Moscow from benefiting from using higher oil prices to finance its war. in Ukraine.

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Reporting by Andrea Shalal and Tetsushi Kajimoto Editing by Shri Navaratnam

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