IMF, World Bank panel resolve to address global growth challenges
• Says transfer of real resources to developing countries is key
As this year’s Spring Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) end in Washington DC, United States (U.S.), the Development Committee, the highest decision-making organ of the two institutions which meets periodically to fashion out global economic direction, has prescribed some quick fix economic solutions to be adopted by member-nation countries to address the world’s global slow growth.
And key on the prescription list is the transfer of real resources to developing countries to address that poverty challenge, according to the committee, which consists of heads of Ministers of Finance and heads of Central Banks of the member-nations.
At the opening press conference of the meetings last Thursday, the World Bank President, Mr. Jim Yong Kim, announced the setting aside of a whopping $25 billion package by the World Bank as soft loan to low and middle income countries of which category Nigeria falls in to address poverty alleviation.
In a similar way, the development committee sanctioned the strategy and asked the World Bank and the IMF to remain committed to the strategy, pointing out that global growth has continued to disappoint in 2016.
The committee in its communique at the close of the meetings said, among others: “We also call on them to provide policy advice and financial support for sustained, inclusive and diversified growth and resilience.
“We are encouraged by progress on the forward look exercise on the medium to long-term future of the WBG, which aims to ensure that the group remains a strong global development institution in an evolving development landscape; and we expect a final report by the yearly meetings.
“The board and management shall develop proposals to ensure that the WBG remains responsive to the diverse needs of all its clients; leads on global issues and knowledge; makes the “billions to trillions” agenda a reality; partners effectively with the private sector; becomes a more effective and agile development partner; and adapts its business model accordingly. Fragility and conflict have displaced millions of people, significantly impacting both origin and host countries.
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