World needs coordinated fiscal response to pandemic: IMF chief
Washington: Global governments must work together to provide massive spending as in the 2008 financial crisis to help the economy withstand the damage from the coronavirus pandemic, IMF chief Kristalina Georgieva said on Monday.
Emerging markets are facing a massive outflow of cash and will need support as well, she said in a blog post.
She again pledged that the IMF "stands ready to mobilize its USD 1 trillion lending capacity to help our membership," including USD 50 billion in rapidly deployed funds for emerging and developing economies.
Governments have taken some steps, especially to address health efforts to contain the spread of COVID-19, but they "should continue and expand these efforts to reach the most affected people and businesses -- with policies including increased paid sick leave and targeted tax relief," Georgieva said.
But more is required beyond individual country actions, and "as the virus spreads, the case for a coordinated and synchronized global fiscal stimulus is becoming stronger by the hour."
In 2009 alone, countries in the Group of 20 committed two per cent of GDP, or over USD 900 billion, "So, there is a lot more work to do," she said.
Meanwhile, the US Federal Reserve joined forces on Sunday with the European Central Bank and others to provide dollar swap lines to ensure global financial markets have guaranteed access to sufficient cash to continue to operate, "steps we know have worked before," Georgieva said, adding that emerging markets likely will need support as well.
She cited data from global banking group the Institute of International Finance showing that investors have pulled nearly USD 42 billion from emerging markets since the beginning of the crisis.
"This is the largest outflow they have ever recorded," she said. "Going forward, there may be a need for swap lines to emerging market economies."
Central banks in those countries facing financial market stress can use currency market interventions as well as "capital flow management" -- a term that can refer to limits on how much cash can be removed from the country -- as a useful tool to complement other actions, she said.
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Telangana CM urges Amit Shah to increase sanctioned strength of IPS officers in state
Hyderabad (PTI): Telangana Chief Minister A Revanth Reddy met Union Home Minister Amit Shah in Delhi on Wednesday night and urged him to increase the sanctioned strength of IPS officers to the state in view of its growing administrative and security needs.
The two leaders also discussed the recent surrender of several senior Maoist leaders before the Telangana Police and other issues.
"During the meeting, the two leaders discussed the issue of Maoist surrenders and their rehabilitation. The chief minister informed Shah that significant improvements in policing have taken place in Telangana over the past two years," an official release here said.
Highlighting that 591 Maoists have laid down their arms and joined the mainstream of society during this period, the chief minister said the state government was providing them compensation and rehabilitation assistance as per the rules.
He requested the Union home minister to extend financial support from the central government for development works in the backward regions of the state.
Reddy also urged Shah to increase the sanctioned strength of IPS officers to the state from 83 to 105 in line with the state's growing administrative and security needs, the statement said.
The first cadre review after the formation of Telangana was conducted in 2016, while the next review, due in 2021, was delayed and finally carried out in 2025. Even then, only seven additional IPS officers were allocated to the state, the chief minister informed Shah and requested that the third cadre review be conducted in 2026 as per the schedule.
Reddy explained that Telangana, like the rest of the country, is facing several modern challenges, including cybercrime, drug trafficking, white-collar crimes, and other emerging security threats.
He highlighted the reorganisation of the Hyderabad, Cyberabad, and Malkajgiri Police Commissionerates, the proposed formation of the Future City Commissionerate and the rapidly growing population in Hyderabad to underline the increasing administrative requirements of the state.
