Date
26 May 2017
US President Barack Obama holds talks with other leaders during a G-7 Working Session in Shima, Japan, on May 27. Photo: Reuters
US President Barack Obama holds talks with other leaders during a G-7 Working Session in Shima, Japan, on May 27. Photo: Reuters

G7 leaders discuss ways to spur global growth

Leaders of the Group of Seven (G7) leading industrialized nations gathered for a summit in Japan this week to discuss ways to spur the global economy, pointing to the need for more action.

However, the leaders appeared to disagree on the risks to growth and exactly how to respond, the Wall Street Journal reported.

US President Barack Obama was quoted as saying that significant time was spent during meetings Thursday to discuss the global economy and the “need to continue to accelerate growth”.

G7 leaders “emphasized the importance of pushing back against either protectionism or competitive currency devaluations or the kind of beggar-thy-neighbor strategies that all too often end up leaving everybody worse off”, he said.

Policymakers have stressed in recent months the need to work together to support growth with fiscal stimulus and structural reforms as well as the extraordinarily easy monetary policies already in place in the US, Europe and Japan.

This had raised expectations that they might reach an agreement on coordinated fiscal stimulus during the summit.

But officials in Tokyo and Washington have sparred over some issues, including whether Japan should be allowed to arrest the yen’s recent rise.

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