Emerging economies need to adopt fiscal consolidation policies for COVID-19 recovery: IMFC

Emerging economies need to adopt fiscal consolidation policies for COVID-19 recovery: IMFC

Emerging markets and low and middle-income countries need to adopt fiscal consolidation to achieve economic growth and to speed up towards a sustainable and inclusive recovery from the COVID-19 crisis, according to the International Monetary Fund and Financial Committee (IMFC) chairman Lesetja Kganyago.

Kganyago made the comments in response to a question from Ahram Online about how these economies can deal with the elevating debt levels they are currently experiencing because of the pandemic. The comments were made during the IMFC press briefing held virtually on Thursday as a part of the IMF and World Bank Group annual meetings.

The IMF's Managing Director Kristalina Georgieva stressed that such economies need an early and decisive restructuring for their debts to mitigate the heavy impacts on their economies, adding that