Eco­nomic stresses are on the rise

The Star Early Edition - - INTERNATIONAL -

EMERG­ING Europe is fac­ing in­creas­ing eco­nomic stresses that threaten to un­wind some of the po­lit­i­cal progress made over the of past decades, a top In­ter­na­tional Mone­tary Fund of­fi­cial said yes­ter­day. Poul Thom­sen, head of the IMF Euro­pean De­part­ment, said cen­tral and east­ern Europe’s eco­nomic growth po­ten­tial has halved in the past decade and the rapid out­flow of skilled work­ers is an in­creas­ing drag. He said that some gov­ern­ments in the re­gion are even ques­tion­ing the ben­e­fits of Euro­pean in­te­gra­tion. With Europe strug­gling through a decade of cri­sis and eco­nomic malaise, con­ver­gence be­tween the core Western coun­tries and the East­ern pe­riph­ery has slowed or stopped. “This is a timely re­minder to all of us not to fool our­selves into be­liev­ing that gov­er­nance and in­sti­tu­tional progress are in­evitable. It is not,” Thom­sen said. – Reuters

Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.