IMF ready to discuss global food crisis
The International Monetary Fund is willing to be a part of a framework that will address the issue of rising global food prices, a top official of the multilateral lending institution has said.
By PTI |
WASHINGTON: The International Monetary Fund is willing to be a part of a framework that will address the issue of rising global food prices, a top official of the multilateral lending institution has said.
Commenting on British Prime Minister Gordon Brown's letter to his Japanese counterpart asking for the involvement of the G-8 and the IMF to address this critical issue, IMF Managing Director Dominque Strauss-Kahn said, "The initiative taken by Gordon Brown is perfectly timely."
Kahn was briefing media on Thursday morning ahead of the Spring Meetings of the World Bank and the Fund starting this weekend.
"We need to consider the rise in food prices... and we have to deal with it," he added.
He also pointed out that the G-8 Ministers who have come for the Spring Meetings will be discussing the issue on Friday.
He said the issue of rising global food prices has indeed a negative impact on trade balances and current account.
"... the problem in trade balance means problems in current account and problems in the current account means problems for the IMF," he remarked.
"We clearly see that in Africa and in Asia we have to consider the threat of food prices not only to address the increase but also to address the consequences in terms of alleviating poverty or undermining the efforts in the fight against poverty" Kahn said.
"The initiative taken by Gordon Brown is absolutely necessary. We are going to talk about this tomorrow ... and see what decision can be made... The IMF is totally prepared to be a part of this," Strauss- Kahn said.
Commenting on British Prime Minister Gordon Brown's letter to his Japanese counterpart asking for the involvement of the G-8 and the IMF to address this critical issue, IMF Managing Director Dominque Strauss-Kahn said, "The initiative taken by Gordon Brown is perfectly timely."
Kahn was briefing media on Thursday morning ahead of the Spring Meetings of the World Bank and the Fund starting this weekend.
"We need to consider the rise in food prices... and we have to deal with it," he added.
He also pointed out that the G-8 Ministers who have come for the Spring Meetings will be discussing the issue on Friday.
He said the issue of rising global food prices has indeed a negative impact on trade balances and current account.
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"... the problem in trade balance means problems in current account and problems in the current account means problems for the IMF," he remarked.
"We clearly see that in Africa and in Asia we have to consider the threat of food prices not only to address the increase but also to address the consequences in terms of alleviating poverty or undermining the efforts in the fight against poverty" Kahn said.
"The initiative taken by Gordon Brown is absolutely necessary. We are going to talk about this tomorrow ... and see what decision can be made... The IMF is totally prepared to be a part of this," Strauss- Kahn said.
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