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interesting piece...
http://www.ft.com/intl/cms/s/0/4e942...#axzz1rawhmoT7
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Brazil is keen to win public support for its efforts to find a multilateral solution to what it calls the “currency war”, competitive devaluations of exchange rates by countries hoping to improve their export prospects.
Ms Rousseff, who enjoys a 77 per cent approval rating despite a turbulent first year in office that has seen her lose seven ministers, has complained about a “monetary tsunami” that has swamped emerging markets, inflating the value of their currencies and rendering their industries uncompetitive.
“We expressed Brazil’s concern with the expansionary monetary policies in rich countries … which is leading to the depreciation of developed country currencies and compromising growth among emerging economies,” she said, sitting beside Mr Obama after their meeting in the Oval Office. Her comments mirror similar complaints she made to the German chancellor Angela Merkel during a visit to Germany last month.
Brazil wants the issue to be addressed eventually through dispute-solving mechanisms in the World Trade Organisation. Ms Rousseff’s administration won a small victory late last month when it helped to organise a WTO symposium to discuss the matter.
Although few analysts expect the initiative to amount to anything concrete in the longer run because of sharp international differences over the issue, any US recognition of the currency war would be an important moral victory for Brazil.
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http://www.ft.com/intl/cms/s/0/4e942...#axzz1rawhmoT7
"...
Brazil is keen to win public support for its efforts to find a multilateral solution to what it calls the “currency war”, competitive devaluations of exchange rates by countries hoping to improve their export prospects.
Ms Rousseff, who enjoys a 77 per cent approval rating despite a turbulent first year in office that has seen her lose seven ministers, has complained about a “monetary tsunami” that has swamped emerging markets, inflating the value of their currencies and rendering their industries uncompetitive.
“We expressed Brazil’s concern with the expansionary monetary policies in rich countries … which is leading to the depreciation of developed country currencies and compromising growth among emerging economies,” she said, sitting beside Mr Obama after their meeting in the Oval Office. Her comments mirror similar complaints she made to the German chancellor Angela Merkel during a visit to Germany last month.
Brazil wants the issue to be addressed eventually through dispute-solving mechanisms in the World Trade Organisation. Ms Rousseff’s administration won a small victory late last month when it helped to organise a WTO symposium to discuss the matter.
Although few analysts expect the initiative to amount to anything concrete in the longer run because of sharp international differences over the issue, any US recognition of the currency war would be an important moral victory for Brazil.
..."
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