Finance ministers and central bank chiefs from the Group of Seven (G7) industrialized nations last Saturday called for an adjustment of the RMB exchange rate. The request was made in a statement released after a meeting in Essen that opened late on Friday.

G7 officials said the exchange rate should reflect economic fundamentals.

In emerging markets with large and growing current account surpluses, especially in China, it is desirable that the effective exchange rate be moved so that necessary adjustments can occur, the statement said.

Zhou Xiaochuan, governor of the People's Bank of China, said the current exchange rate is healthy and China will adopt a more flexible exchange rate policy in line with China's economic development

The two-day meeting focused on fiscal policy including the consolidation of macroeconomic stability, and the role of hedge funds in the stability of international financial markets.

By People's Daily Online