US's Paulson sees progress on trade imbalances

U.S. Treasury Secretary Henry Paulson said in a statement the Group of Seven (G7) nations have made progress but "more needs to be done" on trade imbalances.

Paulson said the US economy is "making a transition to a sustainable expansion," in a statement after a meeting Friday with finance ministers and central bank governors from Canada, France, Germany, the United Kingdom, Italy and Japan.

"Greater exchange rate flexibility and stronger domestic demand in China are critical parts of rebalancin