Last updated at: (Beijing Time) Friday, April 11, 2003
IMF Says Iraq War Risks to Global Economy 'Contained'
Damage to the world economy from the Iraq war has been contained and the risks should fade as the end nears, International Monetary Fund (IMF) managing directorHorst Koehler said Thursday.
Damage to the world economy from the Iraq war has been contained and the risks should fade as the end nears, International Monetary Fund (IMF) managing directorHorst Koehler said Thursday.
"We should all be relieved that hopefully the war ends very quickly. This cloud hanging over us should fade away," Koehler said at a news conference here ahead of annual Spring Meeting of the IMF and the World Bank.
"Nobody can estimate today with any precision the lasting costsof the war in Iraq. But so far, the risks of the war for the global economy have remained contained."
"On the whole, I must say I am quite satisfied with the situation," Koehler said, stressing that the world economy had withstood a battery of severe shocks.
However, he pointed out that weaknesses in the advanced economies had pre-dated the Iraq war and even if some of the riskshad eased, the world should not now expect an explosion of growth.
"We should not be complacent but we also should not be too pessimistic," he said.
Koehler said that the overriding priority of the IMF and World Bank meetings was to help restore confidence to consumers and investors worldwide.