Here is my short story on Global Financial Stability Report:
Global financial stability has fared better in the past six months. However, failing to find policy mix right can affect the market, according to the press conference opening remarks of the Financial Counselor and Director of the Monetary and Capital Markets Department of the International Monetary Fund (IMF).
Policy mix right can help strengthen global economic growth and cut down the risk of economic downturn, according to the Global Financial Stability Report.
IMF released the report in 2017 Spring Meetings which spanned between April 17 and 23. The event took place at the headquarters of IMF and World Bank in Washington D.C.
Financial Counsellor Tobias Adrian led the press conference on the report with three other panelists before taking questions from press.
According to the GFSR, policy mix right is essential and requires cooperation from both national and global policymakers.
The same report said that policymakers should seek right mix of policies for the sake of long-run and inclusive growth.
Tobias of the IMF said that right mix of policies bears different traits for the US, Europe and emerging markets.
In his opening remarks, the US should seek policies that empower corporate investment. Europe should address the burden of weak profitability to ameliorate the banking sector outlook, while emerging markets should tackle domestic and external imbalances to withstand external shocks.
He added that ongoing multilateral cooperation and coordination is mandatory to ensure successful reform agenda that will in turn safeguard the global financial system and spur economic growth.