IMF: Reiterates 2014 global GDP around +3.75%, adjusts 2015 GDP to +4.0% from +3.9% prior - briefing ahead of G20
- Capital outflows, higher interest rates, and sharp currency depreciation in emerging economies remain a key concern and a persistent tightening of financial conditions could undercut investment and growth in some countries.
- There is scope for better cooperation on unwinding unconventional monetary policy, such as wider central bank discussion of exit plans.
- With economic prospects improving, it will be critical to avoid a premature withdrawal of monetary policy accommodation, including in the US.
- ECB should ease policy to aid the economy, BoJ should ease further if progress toward 2% inflation target stalls or reverses.
- There is scope for better cooperation on unwinding unconventional monetary policy, such as wider central bank discussion of exit plans.
- With economic prospects improving, it will be critical to avoid a premature withdrawal of monetary policy accommodation, including in the US.
- ECB should ease policy to aid the economy, BoJ should ease further if progress toward 2% inflation target stalls or reverses.