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SHANGHAI (Dow Jones)--A relatively weak U.S. dollar has been hurting Brazil's economy, and a potential Chinese yuan revaluation against the dollar could help stabilize global currencies, Brazilian Finance Minister Guido Mantega said Wednesday.
Mantega's comments come ahead of key Group of 20 nations meetings, where he said Europe's sovereign debt crisis and ongoing International Monetary Fund reforms are likely to dominate. The Chinese yuan policy is also widely expected to be on the G20 agenda.
"The problem is not renminbi but the dollar,"
Mantega said in an interview, using another name for the Chinese currency. "The U.S. has been maintaining weakness of the dollar to
help its export sector. And China doesn't want to be less competitive."
The pegging of the yuan to the dollar exacerbated the condition, he said.