G20: Japan finance minister calls for vigilance against FX volatility

At the G20 finance leaders' meeting in Durban, Japanese Finance Minister Katsunobu Kato urged vigilance against excessive foreign exchange volatility driven by speculative movements, reaffirming existing G20 commitments. He noted the yen's recent weakening to its lowest level against the dollar since early April and a one-year low against the euro, amid polls signaling risks to Prime Minister Shigeru Ishiba’s coalition majority in the upper house. Kato also raised concerns about US tariffs' effects on global economies and financial markets, arguing they are unsuitable for correcting current account imbalances and calling for constructive G20 dialogue. This position highlights Japan's efforts to stabilize currency markets amid domestic political challenges and trade tensions.