国际英语新闻：Global economic rebalancing needs coordinated monetary policies: OECD

PARIS, Nov. 3 (Xinhua) -- The post-crisis effort to consolidate economic recovery and rebalance global economy needs coordinated monetary policies of advanced and emerging countries, senior official of the Organization for Economic Cooperation and Development (OECD) said Wednesday.

When presenting a report on the latest economic outlook, OECD Secretary-General Angel Gurria said risks were shown in both advanced and emerging countries when capital flowed from the former into the latter like Mexico, Brazil, China and India.

According to the OECD report, continued loose monetary policy in many advanced economies prompts capital to flow to emerging ones where it risks creating asset bubbles while putting upward pressure on their exchange rates.

Gurria also said bubbles were generated in the emerging economies, which "still have a high level of inflation or ...(face) pressure of inflations," when advanced economies take advantage of their weaker and more restrictive monetary policies.

The recent unilateral interventions in the foreign exchange markets and the resulting volatility could prompt protectionist responses, he said, adding that it is better to reach a common understanding on how global imbalances are to be reduced.

On the issues of "currency wars", which has spurred widespread concerns, Gurria said he didn't blame the advanced countries, but called on governments to take "better alternatives" -- coordination and cooperation.

For emerging countries, he suggested they should "be more vigilant about inflation."

Gurria also stressed the importance of structural reforms, such as strengthening social safety nets and developing financial markets in emerging markets.