Group of 20 negotiators have failed to reach agreement on a list of indicators by which to measure imbalances in the global economy and will leave it up to their finance ministers to try and seal a deal on Saturday, a G20 source said.
Even then, agreement is uncertain, the source said.
We are just about beginning to get into the drafting. The first draft could leave out specifics on the indicators, the source said.
It would be up to the finance ministers tomorrow morning to finally put in either the agreed indicators or a wider list ... At this stage it is unclear whether the final commmunique will go with the short agreed list or a wider inclusive list.
China rejected on Friday plans to use real exchange rates and currency reserves to measure imbalances and Chinese Finance Minister Xie Xuren also said the G20 should use trade figures rather than current account balances to assess economic distortions. [ID:nLDE71H0AV]
Sources said one compromise being floated was that China could be allowed to opt out of the balance of payments criterion and use its trade balance instead, although Canada and Germany voiced opposition to that.
The G20 source said the idea of an opt-out was no longer on the table.