Finance ministers and central bank chiefs from the world's 20 biggest economies voiced concern on Saturday over sudden currency swings, venturing for the first time into the territory of the more influential Group of Seven. German Finance Minister Hans Eichel, the meeting's host, said there was a general view that sudden changes in exchange rates or oil prices from global imbalances were undesirable. He also announced a tentative deal, thrashed out with the U.S., to write off up to 80 percent of Iraq's $120 billion in foreign debt. Officials have been at pains to point out that the G20 was not a forum for focussing on exchange rates but the recent sharp falls in the dollar mean it was impossible to discuss the economy without touching on exchange rates. "The imbalances that exist without doubt in the world economy should not lead to abrupt changes, either in oil prices or exchange rates. That's a common position," Eichel told reporters during a break in the G20 talks that end on Sunday. The dollar sank to a multi-year low versus the yen and within a whisker of its low against the euro on Friday after remarks from U.S. Federal Reserve Chairman Alan Greenspan. Policymakers faced a barrage of questions from reporters on exchange rates and European and Japanese delegations, worried the dollar's slide could hurt their exporters, said they were concerned. --More 1827 Local Time 1527 GMT
