WASHINGTON – The following points provide the gist of a joint communique issued by the International Monetary and Financial Committee, the policy-setting panel of the International Monetary Fund, after its one-day meeting Sunday in Washington.
The IMFC agrees:
* short-term prospects for global growth have weakened significantly;
* the slowdown in global growth will likely be short-lived;
* the United States should maintain an easy monetary policy to restore growth potential while carrying out a timely fiscal policy;
* Japan needs to take determined action to address structural weaknesses in its financial and corporate sectors;
* Japan should commit itself to an expansionary policy stance until the risk of deflation is eliminated;
* the gradual fiscal consolidation currently under way in Japan is appropriate;
* euro zone members should continue with structural reforms of the labor and product markets;
* fiscal policy in the euro zone needs to be directed toward consolidation in the medium term.
In a time of both misinformation and too much information, quality journalism is more crucial than ever.
By subscribing, you can help us get the story right.