IMF expects lower growth rates in Europe to minus 1.5  and in America to minus 0.7

Dr. Youssef Boutros Ghali ,Minister of Finance and Chairman of the International Committee of the monetary policy of the International Monetary Fund, the importance of discussing the agenda of developing countries in the meetings of heads of the group of twenty-to be held in Washington next week, adding to the interest of developing countries with policies that will enable them to deal with the effects of the global financial crisis on the people .

The minister said that preparatory meetings of the Group of Twenty, which was held in Brazil on Saturday set some principles to face the global crisis, including: the importance of facing the fiscal imbalances in the economies of most important financial banking institutions and non banking institutions.

And the importance of providing liquidity to face the liquidity crunch suffered by these institutions and markets in which they operate.

Inflation also became less important in the priorities of fiscal and monetary policy as expectations of the international prices of food commodities and raw materials enter in the global economy indicate a decline in world prices.

The minister pointed  that the primary concern of most countries in the world is to maintain a suitable growth rates specially after the International Monetary Fund update its expectations for growth rates in the global economy from an average of 3% to 2.5% with lower expectations for growth in the United States of America 0.1% in 2009 To minus 0.7%, and reduced growth rates of European countries 0.2% to negative 1.5% for the next year.

The Group of Twenty includes: Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey and the United Kingdom and the United States, the European Union, it has been established in 1999 in order to consult regularly on the global economic and financial system and economic policies to stimulate growth.

(Source: Ministry of Finance)