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IMF Evaluated The US Economy

In the statement made by the IMF, it was stated that the 4th article negotiations in the USA were completed.

IMF Evaluated The US Economy
Yazar: Tom Roberts

Yayınlanma: 11 Ağustos 2020 23:24

Güncellenme: 19 Kasım 2024 09:14

IMF Evaluated The US Economy

In the statement made by the IMF, it was stated that the 4th article negotiations in the USA were completed. Noting that the outlook for the US economy has changed significantly with the spread of the Covid-19 outbreak, it was noted that the country's economy is expected to contract by 6.6 percent this year and grow by 3.9 percent in 2021. In the statement, it was stated that there was a strong and proactive response to this unprecedented shock to the economy, the government acted rapidly to support households, businesses and local governments, and that these financial efforts came at a significant cost. The statement pointed out that the ratio of the federal government's budget deficit to gross domestic product (GDP) is expected to rise to 16 percent this year, and the federal debt is expected to approach 100 percent of GDP by the end of the year. In the statement, it was stated that the Fed also took measures rapidly as the size of the epidemic became clear, and the IMF executive directors agreed that an additional financial package would be needed on a large scale. Emphasizing that the Fed's decisive intervention in the early phase of the crisis was appreciated by IMF executive directors, "Inflation and employment will likely remain below targets for a long time." "Executive directors saw more areas for action, including expanded asset purchases and more outspoken direction, while closely watching potential risks to financial stability." was evaluated.
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