Report says G20 nations should develop measures that could be implemented quickly if global growth keeps wilting.
The International Monetary Fund has said that the global economy is “highly vulnerable” and urged the US and other large nations to prepare contingency plans that could be rolled out quickly.
The report was prepared for senior officials of the G20, the world’s 20 largest economies, before a meeting in Shanghai later this week amid falling stock markets, volatile currencies and signs of economic weakness.
The IMF report said a fragile global recovery has weakened further in the face of falling oil prices and diminished growth prospects in China and other emerging market countries.
“The G20 must plan now for coordinated demand support using available fiscal space to boost public investment,” IMF staff said in the report.
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