Closing two days of annual talks between the world's two largest economies, U.S. Treasury Secretary Timothy Geithner acknowledged that China 'has acted to move toward a more flexible exchange-rate system in which the market plays a greater role.'
Treasury Secretary Timothy Geithner on Friday called China's moves to allow an appreciation of its currency "significant and promising" and said he hopes for a greater rise.
Closing two days of annual talks between the world's two largest economies, Geithner acknowledged that China "has acted to move toward a more flexible exchange rate system in which the market plays a greater role."
"These steps are significant and promising and, we believe, will lead to further appreciation in the exchange rate over time against the dollar and the other major currencies," Geithner said.
U.S. lawmakers, some seeking retaliation, have accused China of artificially keeping its currency low to flood the global market with cheap manufactured goods.
Geithner has called for China to let its currency appreciate further, while acknowledging that it has gained some 13% against the dollar in the past two years.
Copyright Agence France-Presse, 2012