Bank of Canada Governor Stephen Poloz said on Tuesday that he hasn’t been talking down the Canadian dollar to boost exports. Speaking in a interview at the G20 meeting in Istanbul, Poloz said the loonie is a casualty of the falling price of oil, the same issue that has dominated the gathering of finance ministers and central bankers. His statement came after U.S. representatives at the G20 warned of the risks of countries manipulating their currencies to gain a trade advantage.
“The Americans very precisely warned everybody that this is a risk … that there are signs that there is currency manipulation going on,” a non-U.S. official told reporters.
A bipartisan group of U.S. lawmakers is expected to unveil legislation soon aimed at stopping trading partners from manipulating their exchange rates to gain a competitive edge. Click here to read more.
Related: Bank of Canada’s Wilkins: Economy Still Below Potential (Reuters)