CHINA sought to restore confidence in its economy as financial leaders from G20 nations gathered in Shanghai on Friday, and Premier Li Keqiang urged greater global coordination and consideration of policy spillovers.

    But Germany appeared to all but rule out coordinated stimulus to counter a deepening global chill, and U.S. Treasury Secretary Jack Lew said there was no need for a crisis response, as in 2009 when the Group of 20 (G20) major economies agreed on coordinated stimulus to prevent a worldwide depression.

    “Macroeconomic policy coordination needs to be strengthened. The global economic and financial situation may have become more grim and complex. It is time for countries to stand together to tide over difficulties,” Li said in a video message at the opening of the meeting.

    Several other policymakers have urged better coordination, but there was disagreement about what steps to take, making it unlikely that concrete action points will emerge from the meeting.

    China’s central bank governor Zhou Xiaochuan repeated assurances the country would not stage another devaluation of its currency, the yuan, to support the economy. He also sought to manage expectations around the speed of China’s economic reform agenda.

    “China will strike a balance between growth, restructuring and risk management,” Zhou said at a conference held by the Institute of International Finance (IIF) in conjunction with the G20 meeting.

    “While the reform direction is clear...the pace will vary, but the reform will be set to continue and the direction is not changed.”

    Zhou said China had monetary policy wiggle room, a statement echoed on the fiscal side by the Chinese finance ministry.(SD-Agencies)