Aging Japan Puts a Strain on the Financial System

By Gaston Gelos and Sònia Muñoz

August 10, 2017

Versions in 中文 (Chinese), 日本語 (Japanese)

Elderly shoppers in Tokyo’s Sugamo district: As Japan's population ages, demand for financial services shifts (photo: Issei Kato/Reuters/Newscom).

Japan’s population is shrinking and getting older, posing challenges to the nation’s financial system. How Japan copes could guide other advanced economies in Asia and Europe that are grappling with the same trends but are at an earlier phase of similar demographic developments.

Continue reading “Aging Japan Puts a Strain on the Financial System” »

Chart of the Week: The Potential for Growth and Africa’s Informal Economy

By IMFBlog

August 8, 2017

A street vendor sells roasted corn in Tanzania: Unregistered household enterprises comprise a significant portion of sub-Saharan Africa’s economy (photo: Ton Koene/VWPics/Newscom)

By 2035, sub-Saharan Africa will have added more working-age people to their workforce than the rest of the world’s regions combined. And this growing workforce will have to be met with jobs. In the region, up to 90 percent of jobs outside agriculture are in the informal sector. This includes household enterprises that are not formally registered, like street vendors or domestic workers. It also includes off-the-books activities by registered firms—for example, the taxi driver who offers a discount if the meter is not turned on.

Continue reading “Chart of the Week: The Potential for Growth and Africa’s Informal Economy” »

Latest Outlook for The Americas: Back on Cruise Control, But Stuck in Low Gear

By Alejandro Werner

July 25, 2017

Versions in Español (Spanish), Português (Portuguese)

Shopping mall in Viña del Mar, Chile: Latin America is expected to recover gradually as most economies continue to face weak domestic demand (photo: Rodrigo Garrido/Newscom)

After disappointing growth over the past few years, economic activity in Latin America remains on track to recover gradually in 2017–18 as recessions in a few countries—notably Argentina and Brazil—are coming to an end. Our latest projections show the region growing by 1 percent in 2017 and 1.9 percent in 2018.

But amid low confidence, domestic demand continues to remain weak across most economies, and is expected to only recover slowly as actual output catches up to potential and internal sources of growth build strength, based on a decline in political and policy uncertainty across some major economies. Some countries in the region will need clear strategies to adjust further following a permanent loss in commodity revenues. Continue reading “Latest Outlook for The Americas: Back on Cruise Control, But Stuck in Low Gear” »

A Firming Recovery

By Maurice Obstfeld

July 24, 2017

Versions in عربي (Arabic), Bahasa (Indonesian),  中文 (Chinese), Français (French), 日本語 (Japanese), Русский (Russian), and Español (Spanish)

(photo: IMF)

The recovery in global growth that we projected in April is on a firmer footing; there is now no question mark over the world economy’s gain in momentum.

As in our April forecast, the World Economic Outlook Update projects  3.5 percent growth in global output for this year and 3.6 percent for next.

The distribution of this growth around the world has changed, however: compared with last April’s projection, some economies are up but others are down, offsetting those improvements. Continue reading “A Firming Recovery” »

IMF Support for the United Nations’ Sustainable Development Goals

By Stefania Fabrizio, Roland Kpodar, and Chris Lane

July 19, 2017

Versions in عربي (Arabic),  中文 (Chinese), Français (French), 日本語 (Japanese), Русский (Russian), and Español (Spanish)

Schoolchildren in line in Mali: Reducing the large gap between men’s and women’s education in some low-income states is one of the 2030 goals which IMF advice can address (photo: Stringer/Reuters/Newscom)

Since the adoption of the United Nation’s Sustainable Development Goals (SDGs) in 2015, we at the IMF have supported countries to reach their goals through policy advice, training, and financial support. Results will accrue over time, and we already see some notable progress. Continue reading “IMF Support for the United Nations’ Sustainable Development Goals” »

Chart of the Week: A Golden Aging for Vietnam?

By IMFBlog

July 17, 2017 

A worker in a silk factory in Dalat, Vietnam. Encouraging more women to join the workforce and shifting to higher productivity occupations will help the country overcome the impact of an aging population (photo: Gerhard Zwerger-Schoner/imageBroker/Newscom)

Vietnam’s demographic dividend is fast turning into a handicap.

For decades, working-age Vietnamese made up an expanding share of the population, boosting economic growth and helping to keep retirement and health spending in check. Continue reading “Chart of the Week: A Golden Aging for Vietnam?” »

Migration and Remittances in Latin America and the Caribbean: Brain Drain Versus Economic Stabilization

By Svetlana Cerovic and Kimberly Beaton

June 29, 2017

Versions in Español (Spanish) and Português (Portuguese)

People waiting to withdraw money in La Cruz, Costa Rica: emigrants from Latin America send home sizable remittances (photo: Juan Carlos Ulate/Reuters/Newscom)

Many people from Latin America and the Caribbean live and work abroad. Migrants have been motivated to leave their home country in search of better job opportunities and, in some cases, a more secure environment. Their families at home often benefit from the remittances migrants send home, which help improve their standard of living, health care, and education. Remittances also provide financial resources for trade and investment, which helps boost the country’s growth. Continue reading “Migration and Remittances in Latin America and the Caribbean: Brain Drain Versus Economic Stabilization” »

The Compact with Africa—The Contribution of the IMF

By Christine Lagarde

June 12, 2017

Versions in عربي (Arabic),  中文 (Chinese), Deutsch (German), Français (French), 日本語 (Japanese), Русский (Russian), and Español (Spanish)

IMF Managing Director Christine Lagarde on a visit to Nigeria in 2016 (photo: IMF staff/Steve Jaffe)

Some of the world’s top policymakers and investors are gathering in Berlin to discuss a new initiative that could help reshape Africa’s economic future.

Millions of citizens could see tangible economic benefits from the recently launched Group of Twenty advanced and emerging economies' initiative, known as the “Compact with Africa.” The goal is to boost private investment by harnessing the expertise and resources of governments, investors, and international organizations.

The Compact is about facilitating projects that can lift productivity and living standards. It is about creating fresh opportunities on a continent where 70 percent of the population is under 35 years of age.

Continue reading “The Compact with Africa—The Contribution of the IMF” »

Lagarde—Lending an Ear to Young Voices

By IMFBlog

June 9, 2017

As Managing Director of the IMF, Christine Lagarde travels the world engaging with country officials, civil society, nongovernmental organizations, and media representatives. Lagarde also makes a point to engage with women and youth groups, to listen to their concerns, and to discuss their vision for their countries.

Continue reading “Lagarde—Lending an Ear to Young Voices” »

Tomorrow’s Workplace

By Camilla Lund Andersen

May 31, 2017

It seems fitting that we are launching our redesigned magazine with a cover dedicated to millennials and the future of work. But while Finance & Development has mainly changed its appearance, not its content, young adults may have to make more fundamental adjustments to keep pace with the requirements of tomorrow’s workplace. Millennials face myriad challenges as they seek to carve out a prosperous future for themselves.

Continue reading “Tomorrow’s Workplace” »

By | May 31st, 2017|education, Employment, Gender issues, IMF, income, labor force, U.S., unemployment, youth|
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