IMF


Olivier Blanchard

IMF: The Blanchard Touch

PARIS | April 20, 2015 | By Francesco Saraceno |  Recently I commented on the intriguing box in which the IMF staff challenges one of the tenets of the Washington consensus, the link between labour market reform and economic performance. But the IMF is not new to these reassessments. In fact over the past three years research coming from the fund has increasingly challenged the orthodoxy that still shapes European policy making.


No Picture

After years of hard assessment, is Spain the IMF’s new favorite?

The Corner | April 18, 2015 | The IMF raised growth expectations for all the major economies in the Eurozone – especially Spain to 2.5% in 2015 and 2% in 2016- and for Japan. The new figures, the sixth improved forecast in a row– are more aligned with Madrid expectations (2%, although the Minister of Economy even forecasts a 3% growth). Low oil prices, the euro depreciation and the ECB’s monthly liquidity shots are the three aces of the Spanish government, who is hoping to retain the power in the next general election despite the popularity of new parties.


lagarde

What structural reforms?

PARIS | April 15, 2015 | By Francesco SaracenoI am ready to bet that the latest IMF World Economic Outlook, that was presented [on Tuesday]  in Washington, will make a certain buzz for a box. It is box 3.5, at page 36 of chapter 3, which has been available on the website for a few days now. In that box, the IMF staff presents evidence on the relationship between structural reforms and total factor productivity, the proxy for long term growth and competitiveness. (Interestingly enough people at the IMF tend to put their most controversial findings in boxes, as if they wanted to bind them).


Christine Lagarde and Yanis Varoufakis

IMF squeezes Greece while pocketing the profits: €2.5 billion since 2010

MADRID | April 10, 2015 | By Ana Fuentes | Investors breathed a sigh of relief on Thursday when Greece met its IMF loan commitment of €460 million euro ($485 million). Markets are predicting that Athens and its creditors will reach an agreement, which would put an end to the standoff which has developed since the Syriza government was elected earlier this year. Still, creditors are using the leverage provided by the country’s current cash shortage to force Athens to make major reforms. Meanwhile they are pocketing huge interest from the outstanding loans.



Now Investment

Consumer confidence points to brighter times in EMU

The Corner | March 30, 2015 | Consumer confidence in the EMU is set to hit its highest level in eight years, with economic sentiment improving across the currency block. In Spain, inflation figures are expected to remain in negative territory, but with the caveat that lower prices are having positive knock-on effects elsewhere in the economy.



No Picture

Greek agreement does not dispel mistrust and acrimony

MADRID, February 23,2015 | By JP Marín Arrese The agreement reached on Friday averted a full-fledged crisis but did not dispel mutual mistrust and acrimony. EU partners remain far from convinced the Hellenic government will honour its commitments. Irritation accumulated in the days following the deal, which Mr Schäuble underlined with his the grossly impolite and scathing remarks that “ Greeks certainly will have a difficult time to explain the deal to their voters”. This acrimonious climate points to further clashes flaring in future.  The last-minute truce will not entail a stable peace. 


germany in greece

Greece granted bailout extension

By Alexandre Mato in BRUSSELS & Sean Duffy in MADRID | A day of hard negotiations finally produced a positive outcome.Greece will work throughout the weekend to ready proposals for Monday´s meeting, but politicans were visibly relieved after an arduous week.