World needs aggressive action to boost growth

The head of the International Monetary Fund (IMF) said Thursday that rich and poor countries need more aggressive reform and investment to boost global growth.

IMF Managing Director Christine Lagarde said in a speech to the Atlantic Council, a Washington think tank, that many economies remain held back by the effects of the 2008 financial crisis.

Meanwhile, other less advanced economies continue to struggle with volatile capital flows and currency shifts that make it harder for them to keep a steady course.

The global recovery continues, but it is moderate and uneven,‌ Lagarde said. In too many parts of the world it is not strong enough. In too many parts of the world, people do not feel it enough.

According to the IMF chief, the big issue facing the world is that while growth currently is moderate, so too are medium-term prospects.

While each country's problems may be different, getting the global economy growing at a better pace requires determined structural reforms to investment rules, competitive environments, labor markets, and other areas by all countries, Lagarde said.

Frankly, in too many countries, these reforms have been lagging,‌ Lagarde said.
Source: SPA