China tried to pre-empt a potential showdown at the upcoming G20 summit yesterday when it warned the other large economies not to use the Toronto meeting as a platform to criticise its currency policy.
Fearing that the policy of pegging its currency to the dollar will come under attack, Chinese officials said the June 26-27 summit was not the forum to discuss the renminbi and cautioned against an outbreak of “finger-pointing”, which they said would damage the world economy.
The comments will reinforce sentiment in Beijing that China is not preparing a last minute announcement on the currency ahead of the summit, despite the recent recovery in Chinese exports and rising anger in the US Congress.
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