IMF calls for taking steps to reduce external financial imbalances 07/29/2015
IMF calls for taking steps to reduce external financial imbalances
It called for a major International Monetary Fund the world's economies to take steps aimed at reducing the external financial imbalances excess, in order to improve the prospects for sustainable global growth and financial stability.
Said David Lipton, First Deputy General Director of the International Monetary Fund, in a debate him about / report of the external sector for 2015 / released yesterday on the latest developments and assess the attitudes of foreign economies, "that, given the global financial situation during the period from 2006 to 2008, we find that the imbalances current growth fell to a large extent, despite the fact that imbalances in general is still very large, where ratios exceed the surplus and the deficit in the current economies of many of the standards of accounts. "
Lipton added that the past few years have seen, in general, a slight progress in shrinking the size of the excess imbalances .. He pointed out that at the level of individual economies, there has been some progress, but there was also some obstacles.
He explained that in the United States, for example, shrank large proportion of the deficit, while in the United Kingdom and some emerging markets deficit widened.
Said First Deputy Managing Director of the International Monetary Fund: "The / report of the external sector for 2015 / underscores the need to assess recent changes in exchange rates in the light of other important recent developments, he said, adding that many of the large exchange that we have seen so far movements are a natural response to the shifts in commodity prices, especially in the lower oil prices, and the differences between the economies in terms of growth and inflation rates and monetary policies. "
He added: "The real pattern of movements in the effective exchange rate will help the overall adjustment in commodity prices, and the differences in monetary policies among major advanced economies and their exchange rates are likely to be beneficial for the global economy as a whole under the current circumstances."