DAVOS, Switzerland — Currency exchange rate manipulation undermines global trade and competition, French President Nicolas Sarkozy said here Wednesday, in a veiled attack aimed at China’s alleged undervalued yuan.
“We cannot put finance and the economy back in order if we allow the disorder of currencies to persist,” Sarkozy said in a keynote address to 2,500 business and political leaders attending the annual World Economic Forum. “We cannot, on the one hand, preach free trade and, on the other, tolerate monetary dumping.”
He argued for a new Bretton Woods global monetary system and alluded to the fact that there was a need for an alternative to the dollar for underwriting the global financial system.
“We cannot have, on the one hand, a multipolar world, and on the other, a single benchmark currency across the globe,” the French president said.
Sarkozy said France will place reform of the international monetary system “on the agenda” when it chairs the powerful G-8 and G-20 groupings in 2011.
Stuart Eizenstat, a former deputy Treasury secretary in the Clinton administration, said of Sarkozy’s remarks, “I don’t agree with overhauling the dollar as a benchmark. I think you have to have an international benchmark and there is no other substitute.”
Eizenstat, head of international trade and finance at the Washington law firm of Covington and Burling, said he agreed with Sarkozy’s call for the need to enforce international rules and noted that monetary manipulation and dumping are inappropriate.
“What he’s saying is that as countries reach the level of development of China, when they’re no longer poor developing countries, they have to play by international rules, and the notion that they’re getting an additional competitive advantage, controlling their currency is not appropriate, and I agree with that,” Eizenstat said in an interview.
Sarkozy also said President Obama “is right” that banks must be dissuaded from engaging in proprietary speculation or financing speculative funds, but indicated this debate cannot be confined to one nation but must be settled within the G-20.
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)
@heriethpaul and @gracebol have a moment on the @victoriassecret fashion show 2017. See every look from the runway on WWD.com. Link in bio. (📷: @giovanni_giannoni_photo) #wwdfashion #victoriassecret #VSFashionShow
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia