TOKYO, Oct. 12 (Xinhua) -- The International Monetary Fund (IMF) has downgraded the forecast for global economic growth for 2012 to 3.3 percent before the IMF-World Bank 2012 annual meetings. The IMF called on all players to cooperate closely to improve the global economy as the global economy recovered more slowly than the IMF’s forecast in April due to many uncertainties.
“In advanced countries, growth is now too low to make a substantial dent in unemployment, and in major emerging countries, growth which had been strong earlier has also decreased.” said the IMF Chief Economist Olivier Blanchard at the press conference.
Good effects have been observed with right action taken by some central banks in the euro area, and IMF received the good signals and considered them a good opportunity to seize as many uncertainties, in every corner of the world, preventing the decision makers from investing, creating jobs and developing values. The IMF suggested if the measures continued working effectively, there is reason to believe the most difficult time for Europe will pass soon, the recovery will begin in 2013.
Looking into the future, IMF suggested there are four key policies for all members to do to make the economy keep going forward.
Firstly, continue to complete the financial sector reform contributing to the safety of the financial sector, as the safety has not improved much yet than five years ago. And then, countries should deal with the legacy(遗留) of high debt, especially in the advanced economies, which have extremely high level. Policy makers also need to expand the employment on creating the condition for economic growth, because the jobless rate among young people is unacceptable. Finally, all members of IMF should face the global unbalance, which is the topic that has been talked about for a long time.
Christine Lagarde, IMF Managing Director, said the annual meetings of IMF could provide a broad platform for players, both new ones from the emerging market and traditional ones from the advanced market, and cooperation is the thing most needed, because the global economy is a cooperative game.
Title   IMF appeals for close         to improve global economy.
Reason  Global economic recovery is         than expected because of many uncertainties.
        of action taken
1. The IMF received good signals, which were        a good opportunity to seize as many uncertainties around the world.
2. The IMF has seen the         measurers being taken in Europe, which show great promise of recovery.
      to adopt
1. All countries should continue to complete the financial reform       the financial sector safer.
2. Countries should        the legacy of high debt, especially in the extremely high-leveled advanced economies.
3. Policy makers need to create the condition for economic growth, so that more young people can become        .
4. All members should face the topic of global unbalance.
        The annual meetings of IMF could provide a platform for all players where cooperation is most needed in improving the global economy.