Lagarde urges for measures in the economy
The growth in the U.S. employment "is not at the potential level" of the economy, some companies bring deterred by uncertainty from the regulatory and political environment, said the general manager of the Internatioanl Monetary Fund (IMF), Christine Lagarde.
Lagarde spoke in an interview broadcast on Fox News Sunday about the need for the the European Central Bank to take measures to prevent risks of low inflation in the euro area, but also Ukraine, which should, according to the official, implement some of the measures promised to the international lenders before starting to receive foreign aid, according to Bloomberg.
The number of employees in the U.S. economy increased by 192,000 in March, according to the Labor Department announced on Thursday in Washington. Media economists contacted by Bloomberg estimates indicate an increase of 200,000.
"The numbers can and should be higher. Which draws us down is probably a degree of uncertainty, a lack of confidence that many companies investing less in capacity expansion and job creation," said Lagarde.
The increasing geopolitical tensions, including the crisis in Ukraine, the risk of a prolonged period of very low inflation in developed economies and volatility in emerging market are the main risk factors that could worsen the global economic outlook, Lagarde said last week in a speech held in Washington.
IMF chief said, in a Fox News interview, that policy makers should take responsibility for creating the conditions that could encourage investment and boost economic growth.
Lagarde urges the Finance Ministers and the heads of central banks of the 188 IMF member states to attack these challenges at the spring meeting of the Fund, which will be held next week in Washington.