1. Outlook: Beyond the Crisis
- International Monetary Fund. European Dept.
- Published Date:
- September 2009
With signs that the recession is bottoming out, European policymakers now need to focus on securing a durable recovery and addressing the threats to potential growth from the financial crisis and the continent’s traditional structural rigidities. In the near term, further action to restore normal functioning of the financial system remains crucial, while policymakers will need to move carefully both to sustain the upswing and to prepare for exit from the extraordinary interventions in a coordinated fashion. And many emerging economies will need to adapt to lower capital inflows, address debt overhangs, and institute structural change.