Global finance experts think that world economies must get together to solve the present issues hitting the global economy. This comment comes at a time when United States of America is having trade issues with other nations.
These financial officers were at the World Bank and International Monetary Fund (IMF) meeting. Almost 189 countries participated in this meet. They hoped that the economic slowdown began in 2018. They also forecasted that this will soon be over and the second half of 2020 will witness an economic boom around the world.
The steering committee of IMF asked all companies to come up and help each other out of this economic crisis. The chairman of this committee, Lesetja Kganyago, who is also the head of the South African central bank, informed every nation must be ready for financial crisis with whatever financial tools they have.
Last year several countries plunged in the stock market. They could recover only after central banks along with Federal Reserve made some amendments in the credit policy. Steven Mnuchin, who is the Treasury Secretary, informed United States of America and China was discussing to resolve their trade disputes. The main point of discussion at this meet was the cold trade war going between 2 big economic powers of the world, USA and China.
Chen Yulu, who is working as the Deputy Governor of the People’s Bank of China was not much supportive in this discussion. He informed that the global economic crisis is mainly because some countries are trying to protect their own trade by imposing heavy taxes on other nations. He also said that trade protectionism led to lack of mutual trust between the countries. This in turn led to limited chances of multi-lateral cooperation. China and USA each have imposed tariff on $350 billion of products.