In addition, any financial support has to be at penalty rates, as it is the case for the IMF. Over time the IMF-style conditionality has led to a sharp reduction of the number of countries resorting to the IMF. No country turns happily to the IMF for financial support.
This brings me to the second point – the recovery in the labour market. Strong recovery in the labour market Although the pandemic is still raging through the economy, slack in the labour market has continued to decline at a notably faster pace than projected (Slide 5, left-hand chart).