However, it is likely that the region will be negatively impacted by conditions of food insecurity and inflationary pressure. In many of our countries in the region, the key challenge is therefore how to address the medium to long-term implications of the crisis with respect to macroeconomic stability, fiscal and current account balance, and growth sustainability.
It is imperative that our policy should aim at improving infrastructure and to increase investment that is supportive of growth, strengthening the macroeconomic framework, and improving the business environment in order to avoid loss of competitiveness. The advanced economies that are affected by the financial crisis have responded by mainly using public funds to provide fiscal stimulus and liquidity support to their financial institutions.