China urges U.S. to adopt responsible fiscal, monetary policies

China urged the U.S. to adopt responsible fiscal and monetary policies, work with other economies to strengthen macroeconomic policy coordination, jointly maintain international economic and financial stability, and promote world economic recovery, Foreign Ministry spokesperson Wang Wenbin said on Thursday.

The Institute of International Finance, a financial services trade group, pointed out in a report that debt across the globe rose in the first quarter of this year to almost $305 trillion, while the U.S. has the largest national debt at $31.4 trillion.

Noting that the U.S. is the world's largest economy and issuer of the major international currency, Wang said its financial position and policy choices have important spillover effects on the world economy, so it should adopt responsible fiscal and monetary policies.

However, the U.S. has long abused the hegemony of the U.S. dollar, arbitrarily borrowing to export the crisis, adopting an unlimited quantitative easing policy, exporting inflation to the world, making the debt problems of some emerging markets and developing countries worse, he said.

The spokesperson added that the U.S. has seriously hampered global economic recovery, which once again confirms the famous words of U.S. Secretary of the Treasury John Connally of the Nixon administration: "The dollar is our currency, but it's your problem."

U.S. President Joe Biden signed the Fiscal Responsibility Act of 2023 into law on June 3 to increase the debt ceiling. Since 1945, the country has raised its debt ceiling 103 times.

(Cover: A poster at a bus stand shows the U.S. national debt in Washington, D.C., U.S., May 21, 2023. /CFP)

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