IMF CHIEF URGES POLICYMAKERS TO FOSTER FAIR RECOVERY

The International Monetary Fund (IMF) Managing Director Kristalina Georgieva on Wednesday urged policymakers to take the right actions by giving everyone a fair shot, as global economy is seeing a multi-speed recovery.

“After the worst global recession since the second world war, the recovery is underway,” Ms Georgieva said.

And yet, while there is light, the crisis continues to cast a dark shadow, she said.

“A small number of economies, led by the U.S. and China, are powering ahead - while poorer countries are falling behind in this multi-speed recovery,” Georgieva said.

“We also face extremely high uncertainty, especially over the impact of new virus strains and potential shifts in financial conditions,” she continued.

Noting that vaccine policy is economic policy, the IMF chief said faster progress in ending the health crisis could add almost 9 trillion dollars to global GDP by 2025, while adding that this window of opportunity is closing fast.

“Governments must show the same sense of urgency and collaboration to provide vaccines to everyone everywhere,” she said.

The IMF has so far supported 86 countries with over 110 billion dollars, using a variety of instruments.

It has also supported 160 countries through technical assistance and training.

The multilateral institution will propose a new Special Drawing Rights (SDR) allocation of 650 billion dollars.

“This will help address the long-term global need for reserve assets and provide a substantial liquidity boost to all our members, especially the most vulnerable,” Ms Georgieva said.