Reforming developing economies to spark growth

IMF Deputy Managing Director Antoinette Sayeh suggests that basic structural reforms can significantly improve governance, regulatory environment, and reduce trade restrictions in emerging market and developing economies.

At the IMF/World Bank annual meetings, she highlighted that first-generation reforms can boost growth by 4% over two years and 8% over four years in countries with significant structural gaps.

Sayeh believes that green reforms, when combined with structural reforms, can stimulate growth, allowing the government to use increased revenue for job creation and green initiatives.

Amer Bisat, Head of Emerging Markets Fixed Income at BlackRock, emphasized the importance of the private sector in driving economic growth.
The cost of green transition to emerging markets is estimated to be $1.9 trillion annually between now and 2050.

Bisat emphasized the importance of stability and high returns in first-generation reforms for private sector investors to attract investment.

happy wheels 2