Week of September 18, 2011 thru September 24, 2011
BEIJING (MNI) - Downside risks facing the world economy have increased, and the momentum of the economy's recovery momentum have weakened markedly, People's Bank of China Governor Zhou Xiaochuan warned at the weekend.
A statement on the central bank website quoted Zhou as telling the International Monetary Fund meeting in Washington of the urgency that global cooperation be stepped up.
WASHINGTON (MNI) - Mario Draghi, the president-designate of the European Central Bank, drew a fairly bleak assessment of the global economy at the IMF/World Bank meetings on Saturday.
--China FX Appreciation Would Help Inflation, Food Purchases
--Zoellick Warns Crisis Spread Would Undermine Emrg Mkt Growth Engine
WASHINGTON (MNI) - Large emerging market countries have a role to play in rebalancing the global economy and supporting recovery, and in China in particular, currency appreciation would help the domestic and world economy, the heads of the World Bank and International Monetary Fund said Saturday.
World Bank President Robert Zoellick warned that with the growing sovereign debt concerns in Europe threatening
WASHINGTON (MNI) - Economic growth in the Eurozone will likely be less positive in the second half than previously expected there and a double-dip in the mature world can no longer be excluded, European Central Bank Executive Board Member Juergen Stark said Saturday.
WASHINGTON (MNI) - Portuguese Finance Minister Vitor Gaspar said Saturday that the government expects to fully comply with the term's of the country's E78 billion bailout and that Portugal should regain access to international markets by the end of 2013.
WASHINGTON (MNI) - The World Bank's governing Development Committee Saturday cited concerns about financial market turbulence and fiscal strains which threaten the global economy recovery. The text of the communique follows:
Washington, DC September 24, 2011
1. The Development Committee met today, September 24, 2011, in Washington DC.
2. We note with concern the turbulence in global financial markets and widespread fiscal strains, which put at risk the robustness and sustainability of global economic recovery.
WASHINGTON (MNI) - The following is a Greek Embassy transcript of an interview Saturday with Greek Finance Minister Evangelos Venizelos on Greek Public Service TV:
Question: What is the conclusion that you draw from the meetings you had earlier today in Washington D.C.?
Venizelos: IMF's annual meeting takes place at a time of great fluidity in global economy and uncertainty over the state of affairs of the Euro Area. This is absolutely unjustifiable and out of touch, given to the strength of the Euro and the strength of the 17 Euro Area member states.
WASHINGTON (MNI) - German Finance Minister Wolfgang Schaeuble Saturday said the Troika's mission to Greece will dictate whether the terms of Greece's second bailout program will have to be revisited.
WASHINGTON (MNI) - It is not possible to rapidly induce a decrease in the inflation rate and one must consider the time lag effect between policy moves and tamer price growth, People's Bank of China Governor Zhou Xiaochuan said Saturday.
At a press briefing during the annual meeting of the IMF and World Bank, Zhou, pressed on the issue of inflation concerns, said that monetary authorities "always watch very closely the inflation."
"To bring the inflation down we need to consider the time lag effect," he said.
WASHINGTON (MNI) - Current financial market tensions underline the importance of pursuing financial market reforms, including Basel III rules, Swiss National Bank chairman Philipp Hildebrand said Saturday.