(Video) Rajya Sabha TV (RSTV) World Panorama: The Currency Manipulation Game

Topic: The Currency Manipulation Game

Episode: 386

Topic Description:

The trade war between the United States and China is heating up again, with US President Donald Trump announcing plans to impose a 10% tariff on the $300 billion worth of imports from China. This on top of the $250 billion that Trump has already hit with 25% import taxes. The People’s Bank of China responded by allowing the managed exchange rate to depreciate beyond seven yuan to the dollar for the first time in 11 years. The Trump administration hit back by naming China a ‘currency manipulator’ – the first time the US had done that to any country in 25 years. Experts declared a currency war, and investors immediately sent global stock markets lower. The US says it would now engage with IMF to 'eliminate the unfair competitive advantage created by China's latest actions'.