Britain's debt 'disturbing but more needed': IMF chief
IMF chief describes Britain's public debt 'disturbing' but says more is needed to stimulate the economy
Dominique Strauss-Kahn, head of the International Monetary Fund (IMF), told
BBC Radio the outlook for the global economy was worsening, describing 2009 ‘as
really being a bad year’.
He painted a dismal picture, describing the level of Britain’s public debt as
‘disturbing’, but recommending it be increased to finance further fiscal
stimulus, The Times reports.
Strauss-Kahn said IMF, which last month reduced its forecast for global
economic growth in 2009 from 3% to 2.2%, might go even lower in its January
forecast because governments around the world had failed to inject enough money
in their economies.
He called for a global stimulus package equal to about 2% of the world’s
collective GDP, or $1.2tn, which means Britain would need almost £10bn more to
stabilise the economy.
Further reading: