US and Japanese Officials Meet in Bangkok to Prepare for Hong Kong APEC Finance Ministers' Meeting

[US and Japanese Officials Meet in Bangkok to Prepare for Hong Kong APEC Finance Ministers' Meeting]

(1) US Treasury officials said during the IMF and World Bank annual meetings that Japan has moved past its decade-plus deflationary environment, and that the yen's exchange rate and monetary policy should align with the current new economic fundamentals.

(2) US Treasury Deputy Secretary Brook, Under Secretary Brownie, and Japan's Vice Minister of Finance for International Affairs Mitsumura Atsushi held bilateral talks in Bangkok, with both sides pledging continued cooperation to maintain smooth market operations.

(3) Brownie stated that sharp and disorderly exchange rate fluctuations could trigger adjustments in investor positions, push up global financing costs, and amplify cross-market volatility risks.

(4) Following the Bangkok meetings, the US Treasury delegation will travel to Hong Kong to attend the APEC Finance Ministers' Meeting scheduled for October 20-21.