With the economic upswing, global payments disequilibria will tend to widen once more, heightening the connected risks to the sustainable growth of the world economy. The International Monetary Fund is fully committed to ensuring macroeconomic stability, but these imbalances, in being for more than a decade now, will persist for an extended period, and they will have to be funded.
This is a titanic enterprise in both size and duration, and one that will only be feasible – without growth-threatening tempests – with capital markets that are far more robust, more transparent and better regulated than in the past. Reform of the rules of finance The recent G20 Summit in Toronto observed that the agenda of essential regulatory reforms is proceeding on schedule.