Arab Today, arab today imf urges swift lifting of us debt limit
Last Updated : GMT 03:08:52
Arab Today, arab today
Arab Today, arab today

IMF urges swift lifting of US debt limit

Arab Today, arab today

Arab Today, arab today IMF urges swift lifting of US debt limit

Washington - AFP

The International Monetary Fund on Monday warned the United States to lift its debt ceiling swiftly for the sake of the US and global economy. But, with US politicians battling over a plan to slash the deficit, the IMF executive board called on authorities to only gradually reduce spending, to avert \"a disruptive loss in fiscal credibility.\" \"The federal debt ceiling should be raised expeditiously to avoid a severe shock to the US economy and world financial markets,\" IMF economists said in a report on the US economy. Executive directors called for the US to gradually unwind the extraordinary support provided the economy to deal with the 2008-2009 financial and economic crisis. \"Spillovers from credible and gradual fiscal consolidation are limited,\" it said, while those from a loss of confidence in US debt sustainability \"are universally large and negative.\" A downgrade on the United States\'s top-rated sovereign debt, which ratings agencies have warned could happen amid the political impasse, would reflect deep troubles in the US financial system. The IMF has told US authorities that \"it\'s worth (fiscal) consolidation, even if it has some negative short-run effects, because the alternative... is so complex, so difficult that it\'s better not to go there,\" Rodrigo Valdez, a senior IMF adviser, said in a conference call with reporters. Another IMF official, Gian-Maria Milesi-Ferretti, told reporters that other countries were concerned about the risk of a \"loss of confidence in the US and hence an abrupt and large depreciation of the dollar accompanied by disruptions in international financial markets.\" Democratic and Republican lawmakers were in negotiations Monday trying to break a prolonged deadlock over raising the government\'s $14.3 trillion borrowing cap, linked to a long-term plan to reduce a swollen budget deficit. US President Barack Obama\'s administration and top lawmakers failed over the weekend to reach a deal to save the world\'s richest country from a disastrous default on its debt on August 2. The government hit the debt limit in mid-May but has used spending and accounting adjustments, as well as higher-than-expected tax receipts, to continue operations. There was little sign of an emerging consensus Monday, with Republicans who lead the House of Representatives and Democrats who control the Senate set to push rival plans. Republicans have opposed Democratic proposals to raise taxes. The IMF economists criticized rival deficit-reduction plans proposed by the Obama administration and the Republican majority in the House of Representatives, citing the economy\'s tepid recovery two years after the official end of severe recession. \"The official deficit reduction proposals could be too front-loaded given the cyclical weakness and, at the same time, insufficient to stabilize the debt by mid-decade,\" they said in an annual review of the world\'s biggest economy. The IMF projected public debt at 99.0 percent of gross domestic product this year, rising to a ratio of 103.0 percent in 2012, higher than its June estimates. \"A politically-backed medium-term framework that raises revenues and addresses long-term expenditure pressures should be the cornerstone of fiscal stabilization,\" it said. \"The strategy should include entitlement reforms, including additional savings in health care, as well as revenue increases, including by reducing tax expenditures,\" the Washington-based institution said in a separate statement on the executive board\'s discussions of the review. The IMF recommended that the US deficit reduction plan include \"as many specific measures as possible,\" and noted that clearly specified medium-term fiscal objectives were \"essential.\"  

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today imf urges swift lifting of us debt limit Arab Today, arab today imf urges swift lifting of us debt limit

 



Arab Today, arab today
Arab Today, arab today Nohan Seyam designs beautiful accessories

GMT 20:02 2017 Tuesday ,21 February

Nohan Seyam designs beautiful accessories
Arab Today, arab today Tourism shows signs of recovery

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today 11 family members dead in rebel push

GMT 07:57 2017 Tuesday ,21 February

11 family members dead in rebel push
Arab Today, arab today To probe sexual harassment claims

GMT 10:08 2017 Tuesday ,21 February

To probe sexual harassment claims

GMT 14:57 2017 Monday ,20 February

A giant initial public offering on track

GMT 14:50 2017 Monday ,20 February

Energy Market Research

GMT 09:38 2017 Monday ,20 February

Japan returns to trade deficit in January

GMT 07:16 2017 Monday ,20 February

Global arms trade highest since Cold War

GMT 06:10 2017 Monday ,20 February

Tourism shows signs of recovery in Egypt

GMT 05:45 2017 Monday ,20 February

Brexit U-turn ruled out by many in EU
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today 57 monkeys carrying 'invasive' genes

GMT 16:00 2017 Tuesday ,21 February

57 monkeys carrying 'invasive' genes
Arab Today, arab today 63-Year-Old Woman Delivers Baby

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby
Arab Today, arab today Small ponds have outsized impact

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Competes Sweden and Germans by S90

GMT 22:36 2017 Thursday ,16 February

Competes Sweden and Germans by S90
Arab Today, arab today Ahmed Fahmy stresses he did not ignore singing

GMT 06:34 2017 Sunday ,19 February

Ahmed Fahmy stresses he did not ignore singing
Arab Today, arab today London to tax old cars

GMT 14:06 2017 Friday ,17 February

London to tax old cars

GMT 21:11 2017 Saturday ,18 February

Egypt to hold first session of Arab film festival

GMT 06:50 2017 Wednesday ,15 February

Tragic fluctuations of Bakhtiari's life revealed

GMT 12:22 2017 Monday ,20 February

Kanye West puts hijab-wearing model

GMT 20:41 2017 Wednesday ,15 February

Teach monkeys to recognize themselves in mirror

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 14:51 2017 Monday ,20 February

Ways to acquire presentation skills

GMT 19:16 2017 Friday ,17 February

Aziz House ready to host the tourists

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:39 2017 Monday ,20 February

newest smartphone another winner for Huawei

GMT 16:08 2017 Wednesday ,15 February

Shawsh reveals her collection "Jewelry of dreams"
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday