Japan's Aso says risks tilted to downside but encouraged by U.S.-China talks

Japanese Finance Minister Taro Aso takes questions from reporters at the annual meetings of the International Monetary Fund and World Bank in Washington, U.S., October 18, 2019. REUTERS/James Lawler Duggan

WASHINGTON (Reuters) - Japanese Finance Minister Taro Aso said on Friday that risks for the global economy were tilted to the downside, particularly from further escalation of trade and geopolitical tensions, but added that he was encouraged by recent U.S.-China trade talks.

Aso, speaking at the final news conference of Japan’s G20 chairmanship, said that U.S. and Chinese officials were “now talking to each other in a normal way” and that trade tensions between the two did not appear to be worsening.

He added that G20 finance leaders agreed that global imbalances must be addressed in a multilateral way to achieve sustainable global growth.

Reporting by David Lawder and Leika Kihara; Editing by Chizu Nomiyama