The Organisation for Economic Co-operation and Development (OECD) has piled pressure on the Group of 20 (G20) to come up with an urgent policy response to stuttering global growth, adding to a call from the International Monetary Fund (IMF) as leading finance ministers and central bankers meet in Shanghai.
Highlighting the turbulent state of the world economy and markets, OECD Chief Economist Catherine Mann wrote in an interim report on economic policy reforms, released Friday, that a pickup in global growth remained “elusive” even eight years after the global financial crisis.
“The recovery in advanced economies is still muted, particularly in the euro area and Japan, while growth has slowed in emerging-market economies. Trade and investment remains weak, while jobs and wage growth have been disappointing. Financial markets are increasingly volatile as capital searches for both yield and safety,” Mann said in the “Going for Growth” report.
“Getting back to healthy and inclusive growth calls for urgent policy response, drawing on monetary, fiscal and structural policies working together,” she added.