Saturday, January 21, 2012

Lagarde joins call for growth, economic reform (AP)

WASHINGTON ? The International Monetary Fund's managing director and top global finance officials are urging the world's political leaders to avoid budget cuts that would hinder economic growth.

Christine Lagarde said in a statement Friday that government spending cuts and other fiscal austerity measures should "promote rather than reduce prospects for growth and employment."

World Bank President Robert Zoellick and Director-General Pascal Lamy of the World Trade Organization signed onto the statement.

The leaders said they spoke for themselves, not their institutions.

"We worry about decelerating global growth and rising uncertainty," they said.

The Global Issues Group issued the statement. The Global Issues Group is part of the World Economic Forum, which is meeting next week in Davos, Switzerland.

Source: http://us.rd.yahoo.com/dailynews/rss/economy/*http%3A//news.yahoo.com/s/ap/20120120/ap_on_bi_ge/us_imf_austerity

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