As US prospects brighten, Fed chief sees risk in global vaccination pace

WASHINGTON (NYTIMES) - Jerome Powell, the Federal Reserve chair, stressed on Thursday (April 8) that even as economic prospects look brighter in the United States, getting the world vaccinated and controlling the coronavirus pandemic remain critical to the global outlook. "Viruses are no respecters of borders," Mr Powell said while speaking on an International Monetary Fund panel. "Until the world, really, is vaccinated, we're all going to be at risk of new mutations and we won't be able to really resume activity with confidence all around the world." While some advanced economies, including the US, are moving quickly toward widespread vaccination, many emerging market countries lag far behind: Some have administered as little as one dose per 1,000 residents. Mr Powell joined a chorus of global policy officials in emphasizing how important it is that all nations - not just the richest ones - are able to widely protect against the coronavirus. Kristalina Georgieva, IMF managing director, said policymakers needed to remain focused on public health as the key policy priority. "This year, next year, vaccine policy is economic policy," Ms Georgieva said, speaking on the same panel. "It ...

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IMF chief sees ‘high degree of uncertainty’ in global outlook

WASHINGTON (REUTERS) - The head of the International Monetary Fund on Monday (Jan 19) said the global lender needed more resources to help heavily indebted countries, citing a highly uncertain global economic outlook and a growing divergence between rich and poor countries. IMF managing director Kristalina Georgieva, who has long advocated a new allocation of the IMF's own currency, Special Drawing Rights (SDRs), said doing so now would give more funds to use address both the health and economic crisis, and accelerate moves to a digital and green economy. Under outgoing President Donald Trump, the United States, the IMF's largest shareholder, has blocked such a new SDR allocation, a move akin to a central bank printing money, since it would provide more resources to richer countries since the allocation would be proportionate to their shareholding. Swedish Finance Minister Magdalena Andersson, the new chair of the IMF's steering committee speaking at an online news conference with Ms Georgieva, said it was clear the need for liquidity remained great, and she would consult with member countries on options for expanding liquidity. Ms Andersson, the first European to head the Internat...