Japan thinks weakening dollar may have adverse effect on the global economy

Yoichi Suzuki, director-general of the Japanese foreign ministry's economic affairs bureau and one of the country's main coordinators for the G8 summit, said that major countries should support the dollar as the key international currency, although emerging nations may discuss a new global reserve currency on the sidelines of the G8 summit in l`Aquila next week.

Yoichi Suzuki said in an interview that Japan thinks it would be difficult for another currency to replace the dollar as the world's global reserve currency and it is against any move that would unnecessarily weaken the status of the dollar.

"It won't benefit any country to talk about ideas of a new global key currency, which would weaken the dollar," he added.

Besides, Japan is interested in a stable dollar for its trade with other countries and because most of its massive foreign reserves are in dollar assets.

However, Tokyo does not expect the topic to be discussed at the meeting of G8 plus G5 emerging nations, including China, Brazil and India.