Fidelity bank banner Camano banner
Trump’s plans endanger economies around the world, IMF warns

By News Express on 13/02/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 1,179

IMF MD Christine Lagarde.
IMF MD Christine Lagarde.

International Monetary Fund chief Christine Lagarde voiced optimism Sunday that U.S. President Donald Trump’s planned tax cuts and construction spending would boost the American economy, but said they could cause trouble for the economies around the globe.

Lagarde, speaking at the World Government Summit in Dubai, said, “From the little we know, and I will insist on the little we know, because this is really work in progress... but from the little we hear, we have reasons to be optimistic about economic growth in the United States.”

Major U.S. stock indexes are near record highs, with the new U.S. leader promising to unveil a “phenomenal” tax cut plan in the next two to three weeks, while also pledging to launch $1 trillion in major infrastructure spending to fix the country’s deteriorating roads and bridges and expand airports. But both measures would need approval by Congress, where the controlling Republican lawmakers have voiced skepticism about any changes that would add to the country’s nearly $20 trillion in long-term debt.

But Lagarde warned that advances by the U.S. economy, the world’s largest, could hurt economies elsewhere because of the strength of the dollar against other currencies and expected action by the U.S. central bank, the Federal Reserve, to gradually boost its benchmark interest rate to keep the American economy from overheating.

She said U.S. gains are good, but that “the more worrying news, if you will, is that it will have consequences on the rest of the world, and we are seeing it.” She said the Fed’s tightening of monetary policy “will be difficult on the global economy and for which economies will have to prepare.”

The IMF last month boosted its U.S. growth estimate a tenth of a point this year to 2.3 percent, and four-tenths of a point to 2.5 percent for 2018. The IMF predicted an increase in global growth to 3.4 percent in 2017 and 3.6 percent in 2018, up from the 2016 figure of 3.1 percent.

Trump has already revoked U.S. participation in the planned 12-nation Trans-Pacific Partnership trade in favour of American deals with individual countries.

Lagarde, however, continued to promote globalisation of the world economy, while acknowledging its negative aspects, which Trump says has cost U.S. manufacturing workers their jobs as their employers moved operations overseas in search of cheaper labor.

“We have been saying globalisation is great, international trade is great – and it is,” Lagarde said. “But we have not looked at those who were badly, negatively impacted.” (VOA)

Source News Express

Posted 13/02/2017 12:36:57 PM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

 

You may also like...
More troops deployed to Southern Kaduna following fresh...

Breaking: RIBADU WITHDRAWS FROM ADAMAWA GOVERNORSHIP RACE •7...

Overzealous soldiers should be stopped from attacking us:...

Why the naira is getting stronger: CBN

Surrender now or we smoke you out, Army...

HURIWA canvasses support for Buhari to combat terrorism...

DON’T CRY FOR MY FATHER —Charly Boy; plans...

Aregbesola promises to pay outstanding wages before September...

The truth about Sunday Oliseh’s resignation as Super...

Ogun 2019: The frontline candidates and their chances...

Nigerian troops gun down terrorists

BREAKING: Falcons beat Cameroon, retain African Women Nations...

 

Latest News Emerging Hydrogen Energy World — Implications for crude oil exporting countries, By Prof. Chijioke Nwaozuzu We’ll sustain Lagos State Employment Trust Fund if elected into office — Lagos APC deputy guber candidate Femi Hamzat Davido sliding into politics, names Wike Godfather Economy: Buhari should admit he doesn’t have answers — Ezekwesili Anambra APGA crisis deepens as aggrieved aspirants demand refunds Alleged N4.75bn, $5m fraud: Ex-Skye Bank’s Chair, MD arraigned Eni, Shell knew of graft surrounding Nigeria deal: Judge UEFA releases draws for Champions League Round of 16 BREAKING: National Assemby staff begin strike, block entrance Pressure mounts on CJN to probe ‘corrupt’ governors Access Bank set to acquire Diamond Bank Troops, Boko Haram in gun battle near Maiduguri

 

Most Read NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (430,994 views) Nigerian female sex addict opens up, says ‘I like it with both men and women’ (395,495 views) Shameless Genevieve Nnaji exposes breasts in public (328,362 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (282,663 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (248,377 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (229,507 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (212,502 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (193,701 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (180,195 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (170,768 views) Lagos plane crash: Journalist releases victims’ names (167,557 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (153,981 views)

 

CBN banner Zenith Zero Balance First Bank chat banking

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (76) Business & Economy (3,886) Business Verdict (54) Columnists (974) Complaints & Requests (95) Enterprise & Opportunities (208) Entertainment (575) Features (681) Global Business Monitor (313) International (2,838) Interview (167) Live Commentary (28) Love Matters (147) Maggie's Blog (74) News (41,517) Opinion (1,153) Pidgin (13) Politics (8,210) Religion (920) Sports (1,827) Stock Watch (35) AMA & Al Jazeera Global Update

 

 

 

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera