IMF spring meetings will be sanguine on the surface

THE world’s finance ministers and central bank governors are descending on Washington, DC from Apr 10 to 16 for the International Monetary Fund (IMF)/World Bank spring meetings. The city’s economy will be richer for it. The forecast is for warm weather – blame Mother Nature rather than delegate orations.

Ministers and governors will focus on the global economic outlook. While they may project an air of sanguinity, there will be hand-wringing behind the scenes.

The 2023 outlook has improved over the last few months. There is greater resilience in the United States and Europe than previously anticipated, and China’s reopening will boost growth. Early fears surrounding massive financial instability in the wake of turbulence at Credit Suisse and Silicon Valley Bank have not materialised. The world has weathered many shocks in past years. These themes were emphasised by US Treasury undersecretary Jay Shambaugh in a discussion with the Official Monetary and Financial Institutions Forum (OMFIF).