The IMF expects growth in advanced economies to decelerate further to 1.2 per cent in 2012. Unemployment rate in the US more than doubled from 4.4 per cent in December 2006 to a peak of 10.0 per cent in October 2009; it has since then eased, at a very gradual pace, to 8.5 per cent.
The government borrowing programme was managed through private placement and subsequent open market operations when the markets stabilised. The learning points were: •  Need for complementarity between macroeconomic stability and financial stability and exchange rate management for preserving competitiveness and confidence in the economy. •  Need for closer supervision and regulation of banks and other financial institutions.