Washington: The International Monetary Fund (IMF) has said that stronger global growth in most regions should prompt world Governments to implement critical economic reforms, including macroeconomic and structural policy measures, to achieve a robust, balanced and sustainable growth.

"Improved prospects in most regions point to stronger global growth going forward," the IMF's policy-setting body, the International Monetary and Financial Committee (IFM) said in a statement yesterday (Apr 24, 2004). "It encourages countries to take advantage of the current environment to strengthen the foundations for sustainable growth," the IFM panel said.

The priority now is to implement the macroeconomic and structural policy measures that will help achieve a robust, balanced and sustainable recovery.

Structural reforms, it said, are essential to improve growth potential and priority should be given to medium-term fiscal consolidation; reforms of pension and health care systems; better function of labour and product markets; and reducing vulnerabilities in banking and corporate sectors.

The Committee called on all countries and regions to play their part in addressing global imbalances.

It urged "a move toward more exchange rate flexibility as appropriate" in "some emerging market countries". The Committee, after hearing a report by Dr Supachai Panitchpakdi, Director General of the World trade Organization, called for constructive and determined efforts by all countries to achieve early progress in the Doha round.