UK growth “not particularly good,” IMF head says

Posted on 19 Apr 2013

Christine Lagarde, managing director of the International Monetary Fund, renewed her concern over the health of the UK economy.

According to Lagarde, UK growth figures are “not particularly good”.

She refused to comment on the UK’s austerity measures, which earlier this week the IMF’s chief economist Olivier Blanchard said should be rethought.

Lagarde’s are not the only expressions of concern, however.

Mark Carney, the future governor of the Bank of England, who seems to be a supporter of George Osborne’s austerity measure to stimulate growth, said that recovery in the United States was leaving behind “crisis economies” in the UK, the eurozone and Japan.

He said: “Central banks can provide the conditions for growth… but they can’t deliver the long-term growth. That needs to come from true fiscal adjustment and fundamental structural reforms.”

Speaking ahead of a meeting of policymakers in Washington, Lagarde said: “We clearly support the austerity policy, but we’ve also said that, should growth be particularly low, then there should be consideration to adjusting by way of slowing the pace. The growth numbers are certainly not particularly good.”

The IMF will arrive in the UK in May to investigate the country’s economy as part of its annual consultations.