IMF MD calls for strong action to support high-quality growth in China

“Since we last met, the global economy has continued to recover, but the recovery faces many risks, including the uncertain path of the pandemic amid the arrival of new variants, and the outlook on inflation,” she said.

“To address these challenges, urgent policy action is needed to control the pandemic, limit scarring, and transform the global economy . Our policy priorities are to vaccinate the world, calibrate policies to pandemic and economic developments, and accelerate reforms to build sustainable and inclusive economies,” she said.

During the roundtable discussion, she stressed on four areas for global cooperation.

First, urgent action is needed to reach the IMF’s pandemic proposal to vaccinate 40 per cent in each country by the end of this year and 70 per cent by mid-2022. Second, cooperation is needed to reduce trade tensions and strengthen the multilateral trading system, which is a key engine for growth and jobs.

Third, more ambition is needed to accelerate the transition to net-zero carbon emissions and to support climate adaption efforts, tapping all policy levers available. And finally, many developing economies will need the global community’s support in their recovery, as they face shrinking fiscal space and rising debt burdens.

Fibre2Fashion News Desk (DS)