IMF calls for global cooperation to tackle economic challenges

WASHINGTON, April 24 (Yonhap) -- The global economy still faces challenges
despite a robust recovery, the International Monetary Fund said Saturday, calling
for cooperation in exiting economic stimuli among countries with varying recovery
speeds to head off possible spillover impact.
"Signs of a strengthening economic recovery are encouraging but many challenges
remain that need to be tackled collaboratively," the global lending body's board
members said in a communique issued at end of the spring session of the
International Monetary and Financial Committee in Washington.
"We will continue to work to phase in country-specific exits from stimulus,
recognizing the diverse pace of recovery and potential spillovers across
countries and regions," the communique said.
The lending body's stance on exit strategies is in line with what was agreed upon
during Group of 20 finance ministers' meeting Thursday. The major economies
promised to maintain economy-boosting measures until the private sector improves
enough to support the recovery but it underlined the importance of pursuing
"well-coordinated" economic policies.
The IMF members also confirmed their commitment to strengthening financial
regulations and supervision, as they believe that problems in the financial
sector were "at the heart of the recent crisis."
"We agree to redouble efforts to forge a collaborative and consistent approach
for a stable global financial system that can support the economic recovery,"
they said in the communique.
Touching on the reform of the IMF, they pledged to complete the quota review
before January 2011. The quota reform is aimed at giving more say to
underrepresented developing member countries in the global lending body.
"We take note of the Board's progress report on quota and governance issues and
intend to remain deeply engaged in these matters," the communique said. "We will
take up these issues at the Annual Meetings, and in preparation for this, we call
for an acceleration of the substantial work still needed on the full range of
quota and other governance reforms, including management selection, ministerial
engaging, board composition and size, voting majorities and staff diversity."
G-20 finance ministers agreed Friday to complete the IMF quota reform by November
when their leaders gather for the fifth G-20 summit in South Korea.
kokobj@yna.co.kr
(END)

Delete & Prev | Delete & Next