Countries need to pursue sound policies for financial stability, growth-oriented structural reforms: Kristalina Georgieva
Observing that global recovery from the COVID-19 pandemic is slow and uneven, IMF Managing Director (MD) Kristalina Georgieva has said that all countries should pursue sound policies to support economic and financial stability and growth-oriented structural reforms against this background. She said this is especially important in emerging and developing countries, where such reforms can boost output by up to 8 per cent over 4 years.
Georgieva has stated that countries also need to mobilize domestic resources to finance and manage the green transition through tax reforms, effective and efficient public spending, strong fiscal institutions, and deep local debt markets. To make the global economy stronger and more resilient in a more shock-prone world, she said, it is vital to reach an agreement to increase IMF's quota resources before the end of the year and secure the needed resources for the Fund's interest-free support to the poorest countries through the Poverty Reduction and Growth Trust.
To build a prosperous future, IMF MD has said that the world needs to harness the potential of digital technology and India's achievement in developing top-tier digital public infrastructure (DPI) stands as a beacon for others. Appreciating that India's G20 presidency is a powerful reminder that when the international community comes together to solve global problems, much can be accomplished, she underlined the need to further strengthening the bonds of international cooperation to create a more prosperous and resilient global economy for all
