Posted on September 27, 2011 by iMFdirect
By Christine Lagarde
(Versions in عربي, 中文, 日本語 and Español)
This past weekend, 187 countries came together in Washington D.C. to focus on the economic crisis facing the world.
They were here for the 2011 Annual Meeting of the IMF and World Bank, at which finance ministers and central bank governors mix with businesspeople, civil society, labor leaders, and parliamentarians to discuss the critical issues we face.
Coming in to this Meeting, I had warned of a dangerous new phase now facing the global economy and had called for bold and collective action. Coming out of the Meeting, I feel strongly that the global community is beginning to respond.
Why? Three reasons: a shared sense of urgency, a shared diagnosis of the problems, and a shared sense that the steps needed in the period ahead are now coming into focus. (more…)
Filed under: Advanced Economies, Annual Meetings, Economic outlook, Emerging Markets, growth, IMF, International Monetary Fund, Low-income countries, Multilateral Cooperation | Tagged: 2011 World Bank-IMF Annual Meetings, Annual Meetings, competitiveness, confidence, Financial regulation, financial sector reform, fiscal policy, household balance sheets, IMF, IMF lending, IMF surveillance, iMFdirect, International Monetary and Financial Committee, International Monetary Fund, medium-term fiscal consolidation, monetary policy, political will, sovereign and financial balance sheets, structural reform, technical assistance, unemployment, weak balance sheets, weak growth | 71 Comments »
Posted on March 9, 2011 by iMFdirect
By Stijn Claessens and Ceyla Pazarbasioglu
(Version in Español)
Crises are like stories; they have a beginning, middle, and an end, and on occasion, we learn something along the way.
In times of crisis, choices must be made. In the most recent global economic crisis policymakers moved quickly to stabilize the system, providing massive financial support, which is the right response in the beginning of any crisis. But that only treated the symptoms of the global financial meltdown, and now a rare opportunity is being thrown away to tackle the underlying causes.
Without restructuring financial institutions’ balance sheets and their operations, as well as their assets ‒ loans to over-indebted households and enterprises ‒ the economic recovery will suffer, and the seeds will be sown for the next crisis. (more…)
Filed under: Advanced Economies, Economic Crisis, Financial Crisis, Financial regulation, Financial sector supervision, International Monetary Fund | Tagged: bank balance sheets, cross-border exposures, financial institutions, financial restructuring, financial sector, financial sector reform, financial sector regulation, financial system risk, global economic crisis, nonperforming loans, resolution mechanisms, restructure assets, stress tests, systemic risk | 8 Comments »
Posted on October 12, 2010 by iMFdirect
By Dominique Strauss-Kahn
(Version in عربي 中文 Español Français 日本語 Русский )
This past weekend in Washington DC, as the economic leaders of 187 countries gathered for the Annual Meetings of the IMF and World Bank, the mood was tense. The world’s finance ministers and central bank governors were concerned because the global recovery is fragile. And uneven. And it is fragile because it is so uneven.
In the emerging markets of Asia, Latin America, and the Middle East, things are going pretty well. Even in Africa, many countries have returned to growth much faster than in previous recessions. In Europe, however, the recovery is sluggish. And in the United States, it remains subdued. The IMF’s latest economic outlook, released during the meetings, does not anticipate a “double dip.” But there are risks. (more…)
Filed under: Advanced Economies, Annual Meetings, G-20, IMF, International Monetary Fund, Multilateral Cooperation, عربي | Tagged: Annual Meetings, balanced and sustainable growth, cooperation, cross-border linkages, currency wars, double dip, financial sector reform, fiscal sustainability, G-20, global recovery, governance, IMF quotas, IMF/World Bank Annual Meetings, IMFC, International Monetary and Financial Committee, jobs, policy coordination, spillovers, unemployment | 10 Comments »
Posted on August 16, 2010 by iMFdirect
By Laura Kodres
Just as a tornado in Kansas transplanted Dorothy and, her dog, Toto, from familiar comforts to the unknown land of Oz, the global crisis has led many to wonder what has become of the global financial system and, more importantly, what will it look like next. Is the wicked witch of the West—excessive risk taking and leverage—really dead?
But now, as the storm subsides, there is time to speculate about what the future financial sector might look like. My IMF colleague, Aditya Narain, and I have done just that in a new Staff Position Note that attempts to discern the contours of this new financial landscape. What is clear is that the new landscape will be influenced by both the private and public sectors—their reactions to the crisis and to each other.
Filed under: Advanced Economies, Economic Crisis, Emerging Markets, Financial Crisis, Financial regulation, Financial sector supervision, IMF, International Monetary Fund, Multilateral Cooperation | Tagged: banks, contagion, deleveraging, financial reform, Financial regulation, financial sector reform, financial sector supervision, financial supervision, financial system risk, global financial system, leverage, macrofinancial linkages, macroprudential regulation, nonbanks, regulatory perimeter, risk taking, systemic collapse, systemic risk | 5 Comments »
Posted on July 9, 2010 by iMFdirect
By Anoop Singh
In just a few days’ time, the Korean government and the IMF will jointly host a high-level international conference in Daejeon, Korea. At the Fund, we are trying continually to enhance our strategic dialogue with Asia, and the conference is an important part of this effort.
Asia’s leadership of the global recovery is undeniable, as I have said in earlier blogs. And the extensive reforms and improved macroeconomic policy frameworks that underpinned the region’s remarkable resilience to the global crisis will see Asia’s successes continue. In just two short decades, we expect it to become the largest economic region in the world.
The Korea conference will be an opportunity to showcase Asia’s economic successes, and also highlight the importance of regional integration and cooperation, which has been growing rapidly in Asia.
Filed under: Advanced Economies, Asia, Economic Crisis, Emerging Markets, G-20, Global Governance, Globalization, growth, IMF, International Monetary Fund, Low-income countries, Multilateral Cooperation | Tagged: Asia, Asia and the IMF, Asia-Pacific, Asian integration, cross-border linkages, early warning exercise, financial sector reform, G-20, global economic crisis, global financial safety net, governance, governance reform, IMF governance, low-income countries, multilateral surveillance, policy coordination, rebalance global economy, regional financial safety nets, regional integration, spillovers, strong policy frameworks, surveillance, vulnerability analysis | Leave a Comment »
Posted on January 7, 2010 by iMFdirect
By John Lipsky
There is a broad consensus on at least one conclusion from the turmoil of the past few years: Fundamental changes are needed in the global financial sector.
Some of these changes seem relatively clear:
- Risk management of many financial firms needs strengthening
- Compensation schemes need to be re-evaluated
- Capital standards need to be bolstered
- Regulation needs fundamental reform
- Supervision needs to be improved
- And financial institutions’ balance sheets need to be freed of the burden of impaired assets.
Nonetheless, important tradeoffs will have to be addressed—and political hurdles surmounted—before significant progress can be achieved.
Filed under: Economic Crisis, Financial Crisis, Financial regulation, Global Governance, International Monetary Fund | Tagged: capital buffers, capital standards, financial sector reform, financial supervision, financial transactions tax, impaired assets, John Lipsky, regulatory reform, risk management, Tobin tax | 15 Comments »