China rejects US's currency manipulating charge

Beijing, Jan.25 (ANI): China's central bank on Saturday dismissed as "untrue and misleading" a recent allegation by US Treasury Secretary-designate Timothy Geithner that US President Obama believes China is manipulating its currency.

Xinhua and the China Daily quoted Su Ning, the vice governor of the People's Bank of China, as saying that the allegation could sidetrack the effort to find the real cause of the financial crisis.

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He warned against possible re-emergence of protectionism as the impact of the global financial and economic crisis spread.

"Also, we should avoid any excuse that might revitalize or fuel protectionism. Because it will do no good to the fight against the crisis, nor will it help the healthy and stable development of the global economy," Su said.

Geithner, who moved closer to confirmation as Treasury secretary on Thursday, made the comment in writing to the Senate Finance Committee.

"President Obama, backed by the conclusions of a broad range of economists, believes that China is manipulating its currency, " Geithner wrote.

Yi Xianrong, a researcher with the financial research center of the CASS, said on Friday if the U.S. labeled China as a "currency manipulator", it would hurt the concerted action of fighting the global financial crisis. (ANI)