China Central Bank Governor Urges G20 to Address Economic Imbalances

Pan Gongsheng, Governor of the People's Bank of China, called on G20 finance ministers and central bank governors to adopt a more comprehensive strategy for addressing global economic imbalances during a meeting in Bangkok on Thursday.

Pan argued that policymakers must analyze capital flows through financial channels in addition to the current account. He asserted that exchange rate adjustments alone are insufficient to resolve these imbalances and urged cooperation between deficit and surplus countries to achieve a dynamic equilibrium in the global economy.

These remarks come as European leaders increase pressure on China to strengthen the yuan in response to a growing Chinese trade surplus. The People's Bank of China issued a statement regarding the governor's defense of national policies during the summit.