German Finance Minister strongly opposes Facebook's Libra

According to a Reuters report on October 18, Scholz stressed that stable currency may pose an international risk at the International Monetary Fund and World Bank Fall Conference on Friday. Scholz expressed complete doubts about the plans of the social media giant and pointed out:

"We will do everything possible to look at the situation. I am not in favor of creating such a world currency, because this is the responsibility of a democratic country."

Scholz said the existing financial system needs reforms to improve and simplify cross-border payments without threatening national sovereignty.

Scholz reiterated his statement in mid-September when he urged policymakers not to accept alternative currencies such as Libra Stabilizer. A document obtained by Reuters at the time showed:

“The federal government will work at the European and international levels to ensure that stable currencies do not become a substitute for official currencies.”

At the recent meeting, the G-7 Task Force confirmed that the G-7 does not allow the issuance of any global stable currency without adequately addressing the relevant challenges and risks. The Group of Seven (G7) reported that once stable currencies are launched globally, they could threaten global financial stability and the monetary system.

Liu Xiangmin, chairman of the Financial Action Task Force, said that the stable currency and the companies behind it will comply with global standards on cryptocurrencies and traditional financial assets. As a result, more and more regulators are concerned about Facebook's Libra.

French Minister of Economy and Finance Bruno Le Maire also reiterated his criticism of Libra, saying he could not tolerate the existence of Libra.