IMFC Sees Growing Risks in Weaker-Than Expected Recover

The International Monetary Fund's steering committee said,Risks to an “uneven and weaker-than-expected” global economic recovery have increased.

At a meeting in Washington, the International Monetary and Financial Committee also said in a statement that “exchange rates should be allowed to respond to changing fundamentals.” It also said it is committed to “lifting potential growth and to creating a more robust, sustainable, balanced, and job-rich global economy.” It promised to “pursue bold and ambitious measures” to spur economic demand. The recovery is "modest in Japan, and tentative in the euro area.”

It said,“A number of countries face the prospect of low or slowing growth, with unemployment remaining unacceptably high.”

 “A revival in economic activity is underway in some advanced economies, notably in the United States and United Kingdom.”

Being deeply concerned about the human and socioeconomic impact of Ebola, it said it was deeply disappointed with the continued delay in enacting a 2010 pact by all IMF member countries that would increase emerging markets’ shares, or quotas, in the fund and boost its permanent lending capacity. The committee urged the U.S., the largest IMF shareholder, to “ratify these reforms at the earliest opportunity.”