Japan warns China against frequent yuan devaluations to prop up economy

Tokyo

AS ASIAN stock prices slumped Friday on the back of news that factory activity in China had fallen to its lowest level in more than five years, Japan Minister of Finance Taro Aso has warned the Chinese authorities against resorting to frequent devaluations of the yuan to prop up the country's sagging economy.

Mr Aso, who is also deputy prime minister, said after a regular Cabinet meeting: "Japan will face a tough decision on how to respond if China intervenes frequently in the market."