Shafaqna Pakistan: As the current chair of the G7, France is drawing attention to growing global economic imbalances, warning that rising Chinese exports, persistent US trade deficits, and weak investment across Europe could intensify trade disputes and increase the risk of financial instability.
French President Emmanuel Macron has described the widening gaps in global trade and capital flows as “unsustainable,” prompting him to place the issue high on the agenda of the G7 leaders’ summit in Evian-les-Bains.
Last month, G7 finance ministers agreed that coordinated international action is needed to address these imbalances, an objective that has often proved difficult to achieve within the broader G20 framework.
They also warned that if the underlying issues remain unaddressed, growing economic imbalances could heighten financial vulnerabilities and potentially contribute to a future global financial crisis.
Source: Reuters
