Finance Minister Pranab Mukherjee has warned the international community that there is danger of a currency war if the ongoing economic crisis deepens. Speaking at a press conference of finance ministers of BRICS nations Brazil, Russia, India, China and South Africa at the headquarters of the International Monetary Fund in Washington, Mr. Mukherjee said such a currency war can be avoided through dialogue and not through competitive devaluations.He pointed out that the currencies used in BRICS countries should be widely appreciated and should be taken into account while determining the ingredients of special drawing rights (SDR) maintained by the IMF, as these nations' contributions to global output and the economy is increasingly substantially.In response to a question, he said, the however suggestion is not being made right now, because there are many other factors which ought to be taken into account, including free convertibility and other things which are not uniform.
News On AIR | September 23, 2011 11:37 AM
Danger of currency war if economic crisis deepens: FM