G20 finance talks open as US seeks to ramp up pressure on Iran

ASHEVILLE, Aug 31: Finance leaders from the Group of 20 major economies open talks Monday at a US-hosted gathering, with the Trump administration seeking to escalate economic pressure on Iran amid a renewed exchange of fire with Tehran.

The gathering of G20 finance ministers and central bank governors takes place through Tuesday in the Blue Ridge Mountains city of Asheville, North Carolina.

But the first exchange of attacks for a month between the United States and Iran in the Middle East loomed over the meetings as leaders convene early Monday.

Also clouding the talks are Trump's tightening of trade barriers and questions on whether the grouping can still work together to address big economic challenges.

Shortly before talks opened, the European Union urged "continued diplomatic efforts" to reach a peace settlement in the Middle East war, which has also seen Tehran virtually block off the Strait of Hormuz.

The waterway is a crucial path of global energy transit, and its closure has caused oil prices to spike.

The G20 comprises 19 nations plus the EU and the African Union. It was established in the wake of the 1997-1998 Asian financial crisis to boost global economic and financial stability.

The EU added that it welcomes efforts at ensuring Iran ceases its "destabilizing activities and engages in peace negotiations with good faith," including through additional, US-led economic pressure.

It pledged to work with international partners to maintain pressure on Tehran.�" AFP