G7 Expresses Concern over Rising Interest Rates

Paris, May 18 (Jiji Press)–Finance ministers and central bank chiefs from the Group of Seven major nations Monday agreed to closely monitor rising long-term interest rates in Japan, the United States and Europe amid concerns about inflation fueled by soaring energy prices due to tensions in the Middle East. During Monday’s discussions at a two-day meeting in Paris, the top financial officials also agreed to share information among member countries and draw up concrete measures against the risk of cyberattacks using cutting-edge artificial intelligence models. Japan is represented by Finance Minister Satsuki Katayama and Bank of Japan Governor Kazuo Ueda. “The situation in the Middle East has fueled global inflation concerns and caused bond prices to fall, with speculative moves being seen in financial markets,” Katayama told reporters after the first day of discussions. “It is important for the global economy to ensure free and safe navigation through the Strait of Hormuz, and we also agreed to closely monitor and respond to market conditions,” she said. The financial officials from Britain, Canada, France, Germany, Italy, Japan and the United States, along with the European Union, also discussed the risk of a food crisis caused by disruptions to fertilizer supplies dependent on the Middle East. They also discussed ways to give priority passage through the Strait of Hormuz to ships carrying fertilizers. There are growing concerns that the financial system will be subject to cyberattacks due to the misuse of advanced AI models such as U.S. startup Anthropic’s Claude Mythos. Katayama said she told participants during the day’s discussions that the G7 countries should reach a decision by the June summit so that the G7 can respond in a coordinated manner. Regarding critical minerals, including rare earths, discussions focused on building supply chains that are not dependent on China. The introduction of a minimum price system to counter low-cost Chinese products was also discussed. The G7 financial officials are expected to adopt a joint statement to wrap up their meeting through Tuesday. END [Copyright The Jiji Press, Ltd.]