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International Monetary Fund (IMF) Managing Director Christine Lagarde (R) talks with Canada's Finance Minister Jim Flaherty (L) and Germany's Central Bank Governor Jens Weidmann (back row L) during the official photo of the G7 finance ministers and central bank governors in Marseille September 9, 2011.
International Monetary Fund (IMF) Managing Director Christine Lagarde (R) talks with Canada's Finance Minister Jim Flaherty (L) and Germany's Central Bank Governor Jens Weidmann (back row L) during the official photo of the G7 finance ministers and central bank governors in Marseille September 9, 2011.
(Jean-Paul Pelissier/Reuters)

BREAKINGVIEWS

G7 currency war statement, decoded: ‘We’re not helping’

Reuters Breakingviews delivers agenda-setting financial insight. Its global correspondents react to stories as they develop, delivering sharp and provocative commentary on big financial news as it breaks.

The G7 has spoken about the troubled foreign exchange markets, and the world is marginally less secure for it. In Tuesday’s four-sentence statement, the finance ministers and central bankers of the world’s leading economies managed to ignore the problem of inadvertent competitive devaluations, contradict themselves and make an empty promise.