Treasury Secretary Shunichi Suzuki shook hands with US Treasury Secretary Janet Yellen at the latter office in Tokyo on July 12, 2022. Rising food and energy prices exacerbated by the Russian war in Ukraine.
Kazuhiro Nogi | Afp | Getty Images
US Treasury Secretary Janet Yellen and Treasury Minister Shunichi Suzuki agreed on Tuesday to work together to further strengthen bilateral relations and address rising food and energy prices exacerbated by the Russian war in Ukraine.
They said the war could increase exchange rate volatility and negatively impact economic and financial stability, and “properly address currency issues in line with their commitment as part of the G7 and Group of Seven. I promised to cooperate. ” 20 economies.
In a joint statement after the meeting, the two sides said, “We will continue to discuss the foreign exchange market closely and cooperate appropriately on currency issues in line with the commitments of the G7 and G20.”
The two leaders also said they were united in “strong condemnation of Russia’s provocative and unjustified war against Ukraine,” adding that they continued to increase Russia’s war costs by implementing economic and financial sanctions. ..
Russia describes Ukraine’s invasion as a “special military operation.”
Yellen and Suzuki also “constructively” dispose of debt in low-income countries facing debt problems to creditors other than China and other Paris Clubs, touching on issues such as climate change and global tax reform. I requested that you do it.
Their joint statement also mentioned the Russian oil price cap proposed by the United States to prevent Moscow from using high oil prices to fund the war in Ukraine, but It was not possible to offer a concrete agreement on the plan.
In a statement, the two leaders said, “While considering mitigation mechanisms to enable the most vulnerable and affected countries to maintain access to energy markets, including the feasibility of price caps as necessary. We welcome the G7’s efforts to continue to seek ways to curb rising energy prices. ” ..
If the proposed price cap for Russian oil is not adopted, the global price of oil could rise by 40% to about $ 140 per barrel, with sanctions allowing shipments below that price. There is also an exemption.
U.S. officials say the goal is to set prices to cover Russia’s marginal production costs, and Moscow is motivated to continue exporting oil, but will fund the war with Ukraine. He said it wasn’t high enough.
Japan’s finance minister issued a new warning at the beginning of Tuesday against a new depreciation of the yen after the currency hit a new low for the first time in 24 years after surpassing 137. Circle To the dollar the day before.
“There are many problems on a global scale,” Suzuki told reporters. “We want to make the most of today’s conference and make more adjustments to resolve them.”
“The recent exchange rate has seen a sharp depreciation of the yen. I’m worried,” he said. “The government will work closely with the Bank of Japan to keep a close eye on the currency.”
Meanwhile, the U.S. Treasury Secretary pays homage to the murder of former Prime Minister Shinzo Abe, Japan’s longest-serving modern leader, on Monday night’s private wake, celebrating Japan’s prosperity and women’s status. He praised his work to enhance.
She canceled her speech at Yokohama Port in honor of Prime Minister Abe’s death, but nevertheless personally met with Japanese business leaders, improving supply chain resilience and expanding the use of “friend shorering” inflated. Relieves pressure and bottleneck.
On Wednesday, Yellen will travel to Indonesia to attend a rally from July 15th to 16th with Suzuki and a group of 20 other financial officials.