Press Release No. 11/199

Press Release: Statement by IMF Acting Managing Director John Lipsky on the G-8 Summit

May 27, 2011

Mr. John Lipsky, Acting Managing Director of the International Monetary Fund (IMF), issued the following statement today in Deauville, France, following the conclusion of the Group of Eight Summit:

“The Group of Eight leaders have recognized the significant challenges facing the global economy. For its part, the IMF will continue to support the current global economic recovery, to ensure strong, sustainable and balanced growth, and to foster stronger employment gains. As we know, there are varying speeds of economic growth and recovery worldwide, and some specific regional challenges.

“In this regard, the IMF has been asked by the G-8 to support efforts by leading donor countries to reinforce critical policy reforms in the Middle East and North Africa (MENA). A staff team currently is in Egypt to discuss an economic arrangement that can be supported by IMF financing. We also are in regular contact with other MENA nations, including Tunisia, and stand ready to support their short-term challenges of ensuring social cohesion and macroeconomic stability as well as their medium-term transformation efforts.

“A report submitted by the Fund to the G-8 on the medium-term challenges facing MENA notes that oil importers in the region will require substantial financial support for reforms that will generate jobs and growth. The Fund potentially could make available as much as $35 billion in financial assistance to the region in the years ahead as part of a broad international effort. Though the challenges may be great, we are optimistic that a commitment to sound policies and their consistent implementation will bring positive results.

“I had the opportunity to meet here with the Egyptian and Tunisian leaders, and I gained a sense of their encouraging commitment to lasting change and structural reform. More work remains to define goals and strategies. The Fund is prepared to work actively with member countries in the region to meet their urgent financing needs and develop the strategies necessary for medium-term success.”