With major world economies threatening tariff increases against each other, the IMF encourages trade and cooperation in order to facilitate global economic stability said spokesman Gerry Rice in Washington Thursday (12 July).
“We encourage everyone to work constructively, try and reduce trade barriers, and resolve disagreements without resort to exceptional measures. As Madame Lagarde has said that nobody wins in a trade war.”
Reacting to the steep devaluation of the Turkish Lira Rice said, “Overall, on Turkey is what I would say is that in light of the recent market volatility, the new administration will need to demonstrate a commitment to sound economic policies to promote macroeconomic stability and reduce imbalances while ensuring full operational independence to the central bank to pursue its mandate of securing price stability.”
After days of violent demonstrations in Haiti, the IMF continues to support the country as Haiti develops a revised strategy for reform while mitigating the impact on the poor.
“Going forward we will continue to support Haiti, continue to stand by Haiti and to cooperate closely with the authorities as they develop a revised reform strategy. And discussions are ongoing with the authorities but we would expect that the revised reform program would include at least two important elements that I would like to highlight. One would be a more gradual approach to reducing fuel subsidies. And two, secondly, would be ensuring the implementation of compensatory and mitigating measures to protect the most vulnerable people.,” Rice told reporters.
“A third important point is that we hope that by implementing this revised reform strategy this can help unlock additional support, continued engagement of the international community and other development partners, including the IMF,” Rice added.
“So this is a major objective as far as we are concerned to try and mobilize additional support to try and help Haiti through this difficult period that it is facing.”
For more information please visit IMF.org.