The International Monetary Fund (IMF) shows its fear that the recovery of the global economy derailing, given the high volatility of the latter.
In a pre-summit ministerial group of the 20 most developed and emerging economies (G20) in China note, the financial institution warned of this risk and urged a coordinated stimulus plan.
There are increased risks that the recovery derails, at a time when the global economy is highly vulnerable to adverse shocks, noted the IMF in his message for those attending the meeting of that group, which will take place over the weekend in the country Asian.
The international organization recorded that the activity of advanced economies like the US, euro zone and Japan has weakened in the last quarter of 2015 and the beginning of 2016.
He also called on the authorities of the G-20 to develop a plan to coordinate support for demand, using the fiscal space available to boost public investment, citing in this regard to countries with additional capacity as Germany.
According to the message of the financial institution, the global economy needs brave multilateral action in order to stimulate growth and contain the risk.
In its January estimates, the Fund revised down two tenths forecasts for global growth to 3.4 percent in 2016.
However, experts agreed that the current course of the global economy could lead to a further cut in growth estimates.
The global outlook has worsened due to tensions in financial terms, the impact on emerging economies slowdown in China and falling prices of raw materials, and persistent weakness in Europe and Japan.
Source: http://www.panamaon.com/