Posted on May 31, 2016 by iMFdirect
By Jeff Hayden
Strong performance by many African economies over the past two decades led some commentators to coin the term “Africa Rising” to describe the region’s surging economic power.
The term graced the cover of TIME magazine in December 2012, in an issue that chronicled the region’s decades-long journey from economic anemia to impressive vigor. Beginning in the mid-1990s, many—but certainly not all—countries in sub-Saharan Africa energized their economies, achieving in recent years some of the world’s highest growth. Living standards improved as a result, as did health care and other key services, inspiring hope for a bright future.
Filed under: Africa, Fiscal policy, Government, growth, IMF, International Monetary Fund, Investment | Tagged: Africa, health care, IMF, infrastructure, International Monetary Fund, Nigeria, technology, United States, Women in the Workforce | Leave a comment »
Posted on May 24, 2016 by iMFdirect
By Sonali Jain-Chandra, Kalpana Kochhar and Tidiane Kinda
Versions in 中文 (Chinese), 日本語 (Japanese)
Asia continues to be the world’s growth leader, but the gains from growth are less widely shared than before. Until about 1990, Asia grew rapidly and secured large gains in poverty reduction while simultaneously achieving a fairly equitable society. Since the early 1990s, however, the region has witnessed widening income inequality that has accompanied its robust expansion—a break from its own remarkable past.
This matters because elevated levels of inequality are harmful for the pace and sustainability of growth. What can be done? Our research finds that policies could substantially reverse the trend of rising inequality. In particular, given limited social safety nets, well-designed fiscal policies may be able to alleviate inequality without stifling the region’s wealth-creating growth.
Filed under: Asia, China, Emerging Markets, Employment, Fiscal, Fiscal policy, Government, growth, IMF, India, Inequality, International Monetary Fund, Investment, Reform | Tagged: China, fiscal policy, IMF, iMFdirect, income inequality, India, inquality, International Monetary Fund, investment, unemployment | Leave a comment »
Posted on May 18, 2016 by iMFdirect
By Pritha Mitra
Version in عربي (Arabic)
Every year, millions of people leave their countries of birth in search of better opportunities abroad. Often, these migrants are among the most talented workers in their home countries. At first glance, this is a loss for the home countries, which invested considerable time and money in educating and developing these people, only to watch them leave. But look again.
Filed under: developing countries, Emerging Markets, Employment, Government, growth, International Monetary Fund, Investment, Migration, refugees, technology | Tagged: Africa, Asia, developing countries, diaspora, emerging economies, Europe, GDP, governments, growth, IMF, India, International Monetary Fund, jobs, Latin America, Middle East, Migration, refugees, remittances, United States | Leave a comment »
Posted on May 12, 2016 by iMFdirect
By Serkan Arslanalp, Thomas Helbling, Jaewoo Lee, and Koshy Mathai
Version in 中文 (Chinese)
China’s economy leaves nobody indifferent. The world is watching closely as the second largest economy in the world is shifting its growth model from an export-driven one to one centered on household consumption. As China’s economy slows and rebalances, its impact is being felt on an already fragile global economy, and particularly in the rest of the Asia region. Our recent studies show that while China’s rebalancing will adversely affect some Asian economies, it will also open opportunities for several others.
Filed under: Asia, China, Financial markets, growth, IMF, International Monetary Fund, Investment, technology, trade | Tagged: ASEAN, Asia, China, commodity prices, economic rebalancing, financial markets, Hong Kong, IMF, International Monetary Fund, Japan, New Zealand, Taiwan, trade | Leave a comment »
Posted on February 29, 2016 by iMFdirect
When you drive over potholes on downtown streets, are forced to make large detours to cross rivers lacking bridges, and finally arrive to find no cell coverage, connections between the global infrastructure investment gap and your pension fund might not be the immediate thing that comes to mind. But it should, because:
- Huge pools of available assets: pension funds, insurance companies, mutual funds and sovereign wealth funds sit on $100 trillion in assets. To compare: U.S. nominal GDP in the third quarter of last year was $18 trillion.
- Huge infrastructure investment gap: between $1 to 1.5 trillion per year worldwide.
Filed under: Advanced Economies, Finance, IMF, International Monetary Fund, Investment | Tagged: GDP, IMF, iMFdirect, infrastructure development, insurance, mutual funds, pension funds, private investment, public-private partnerships, sovereign wealth funds | Leave a comment »
Posted on December 21, 2015 by iMFdirect
By Wenjie Chen and Roger Nord
(Versions in عربي, 中文, Français, Português, and Español)
China’s President Xi Jinping’s recent pledge of US$60 billion in financial support over the next three years illustrates the depth of the partnership between China and Africa.
However, China’s shift from an investment-heavy, export led growth strategy to an economic model that relies more on domestic consumption has led to a dramatic decline in commodity prices. Lower commodity prices and lower volumes of trade have hit sub-Saharan Africa’s commodity exporters hard. But over the medium term, this shift may offer sub-Saharan African countries the opportunity to diversify their economies away from natural resources, and create jobs for their young populations, provided they pursue the right policies to foster competitiveness and integrate into global value chains.
Filed under: Africa, China, growth, International Monetary Fund, Investment, Transition | Tagged: China, commodities, export diversification, exports, foreign direct investment, IMF, imports, investment, Sub-Saharan Africa, trade | Leave a comment »
Posted on November 4, 2015 by iMFdirect
By Natalija Novta and Fabiano Rodrigues Bastos
(Versions in Español and Português)
Growth in Latin America and the Caribbean is suffering a double whammy—economic activity has slowed down sharply and the medium-term outlook continues to deteriorate. It is therefore not surprising that policymakers across the region are eagerly searching for ways to revitalize growth.
One answer may be more trade—both within the region and with the rest of the world. Our new study analyzes the export performance in developing and emerging market regions over the past two decades to assess the potential for future export growth in Latin America. We find evidence that most countries in the region “undertrade” compared to what standard models would predict. This has been an entrenched problem for almost a quarter of a century, partly as a result of the region’s geography and a legacy of protectionist policies.
Filed under: Advanced Economies, Economic Crisis, Economic outlook, Economic research, Emerging Markets, Español, Fiscal policy, growth, IMF, International Monetary Fund, Investment, Latin America | Tagged: Argentina, Asia, Brazil, Caribbean, Chile, China, Colombia, Japan, Korea, Latin America, Mexico, oil exporters, Regional Economic Outlook: Western Hemisphere, South America, trade, United States, Venezuela | Leave a comment »