Associate Professor Jay Shambaugh of George Washington University spoke at a macro-policy discussion in the United States on Wednesday, April 17, 2013. The US Treasury’s best candidate for economic diplomacy said on Tuesday that it wanted to limit China’s growing world. Lend out influence by working with international financial institutions and development banks to provide alternatives to each country.
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The U.S. Treasury’s best candidate for economic diplomacy wants to limit the impact of China’s expanding global lending on Tuesday by working with international financial institutions and development banks to provide alternatives to the country. Stated.
Jay Shambaugh was chosen by President Joe Biden as Under Secretary of Finance for International Affairs. If confirmed, a professor at George Washington University and an economic adviser to the former Obama administration will occupy an important Treasury position that has been vacant since the Biden administration took office in January 2021.
At a confirmation hearing by the Senate Finance Committee, Mr. Chambeau said there was competition between China’s state-led economic model and the US model driven by the rule of law, transparency and markets.
He will work with institutions such as the World Bank and the International Monetary Fund to present “a good alternative option for engaging with China for the country, whether China is a loan or another type of involvement.” Said that.
Mr Chambeau said China should no longer be considered a developing country to be financed by the World Bank. He also said he would like to prevent foreign exchange reserves of the International Monetary Fund’s special drawing rights directed at poor countries from being used to repay China’s debt for the Belt and Road Infrastructure project.
Regarding the Biden administration’s deliberations on whether to reduce tariffs on Chinese goods imposed by the Trump administration, Chambord said Treasury Secretary Janet Yellen said that some of those tariffs were “less strategically oriented”. Was repeated. He said these tariffs should be reassessed as the economy has changed since they were imposed.
Regarding the Treasury’s role in cracking down on currency manipulators by major US trading partners, Mr. Chambord said his work would extend far beyond the preparation of semi-annual currency manipulators.
Regardless of whether the Treasury labels the currency manipulators of each country in the report, the Treasury ensures the G7, G20 and IMF commitments to avoid manipulating currencies for trade gains. He said he must work with those countries to meet.
Andy Baukol, a longtime assistant to the Treasury, has served as a vacant deputy minister, while Yellen counselor and former IMF official David Lipton has played an important role in the Treasury’s development of international economic policy. did.