Opinion: (Christine Lagarde, the IMF Chief): “International Monetary Fund Managing Director Christine Lagarde said governments and policy makers in developed economies must take action to support the recovery as the risk of recession outweighs the threat from inflation.
“’Countries must act now and act boldly to steer their economies through this dangerous new phase of the recovery,’ Lagarde said…
“While ‘policy makers do still have options to support the recovery,’ the scope for action ‘is considerably narrower than when the crisis first erupted,’ Lagarde said. ‘Policy makers should stand ready, as needed, to take more action to support the recovery — including through unconventional measures.’”
“G20 finance chiefs, who also met in Washington, pledged financial support to help new governments in the Middle East and North Africa.
“Mr Zoellick said such support was vital.
“‘The crisis in the Middle East and North Africa underscores how we need to put the conclusions from our latest world development report into practice. The report highlighted the importance of citizen security, justice and jobs,’ he said.”