Arab Today, arab today imf\s lipton urges less austerity if growth hurt
Last Updated : GMT 06:49:37
Arab Today, arab today
Arab Today, arab today

IMF\'s Lipton urges less austerity if growth hurt

Arab Today, arab today

Arab Today, arab today IMF\'s Lipton urges less austerity if growth hurt

London - AFP

The IMF\'s number-two official, David Lipton, warned Monday that policymakers should temper austerity measures aimed at reducing debt if they are damaging economic growth. Lipton, the IMF first deputy managing director, said at a London conference that despite progress since the 2008-2009 global financial meltdown, \"this crisis is proving very hard to end.\" Deleveraging by nations and banks is necessary to restore stability, he said, but it weighs on a rebound in economic activity by curbing credit and public investment. \"Fiscal consolidation alongside private sector deleveraging has dampened demand, and the near-term effect on activity has been larger than anticipated in several countries,\" he said, according to the prepared text of his speech. \"Deleveraging is necessary, but it should be implemented at a speed and in a way that minimizes the impact on growth,\" he added. For several weeks, the IMF has suggested that it had underestimated the impact of austerity programs in Europe, particularly in the eurozone countries under IMF-European Union rescue programs, such as Greece and Portugal, and shown a more accommodating attitude. \"In case of large negative shocks or growth disappointments, the pace of consolidation should be smoothed in countries that can afford it,\" Lipton said. The IMF official also cautioned against undesirable effects from reforms of the international banking system that could constrict lending. \"It is crucial to strike a proper balance between the necessary strengthening of the financial system via robust implementation, while cushioning the impact of the adjustment on activity with policies geared towards supporting growth,\" he said. The new Basel III rules for strengthening banking capital are meeting resistance around the globe. On Friday, the United States announced that it would not implement Basel III on the January 1 deadline, and gave no guidance on when it could meet the tougher capital standards.

arabstoday
arabstoday

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\s lipton urges less austerity if growth hurt Arab Today, arab today imf\s lipton urges less austerity if growth hurt

 



Arab Today, arab today

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\s lipton urges less austerity if growth hurt Arab Today, arab today imf\s lipton urges less austerity if growth hurt

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Mozambique's gas boom dream under threat

GMT 16:29 2017 Monday ,08 May

Mozambique's gas boom dream under threat
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Jaguar displays XF Sportbrake line

GMT 14:36 2017 Monday ,08 May

Jaguar displays XF Sportbrake line
Arab Today, arab today BMW sees forecasts in reach

GMT 09:04 2017 Thursday ,04 May

BMW sees forecasts in reach
Arab Today, arab today Climate science: Bad news gets worse

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse
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