(Adds more detail)
By David Lawder
BARI, Italy May 12 G7 finance officials have
raised concerns about risks to global growth from the Trump
administration's policy proposals including tax reform, a senior
U.S. Treasury official said on Friday.
Finance ministers from the Group of Seven (G7) - the United
States, Canada, Japan, France, Germany, Italy and Britain - are
holding two days of talks on the global economy, taxation and
terrorist financing in the southern Italian city of Bari.
Speaking to reporters on the sidelines of the meeting, the
official said the tax plan and U.S. trade policies were part of
discussions about risks to the global economy.
"Some countries have flagged risks along those lines as well
as risks that U.S. growth and strengthening U.S. growth will
lead to more investment, which could have an impact on exchange
rates and could have an impact on the Fed's policy going
forward," the official said.
"That's in a positive context, but it could have spillovers
to the rest of the world, in terms of both positive and
negative," the official said.
The official said that stronger U.S. growth and a stronger
dollar could cause some problems for countries with high dollar
debts, possibly leading to some capital outflows.
The official said U.S. Treasury Secretary Steven Mnuchin has
tried to field questions from many G7 ministers on the process
and timing of tax reform, which is still uncertain.
"The goal is to pass it this year," the official said.
(Reporting by David Lawder; Editing by Tom Heneghan)