The World Bank today announced the 28-month debarment of Spanish engineering company Ingeniería Especializada Obra Civil e Industrial S.A.U. in connection with corrupt, collusive and fraudulent practices in the World Bank-financed National Roads and Airport Infrastructure Project in Bolivia. At the time of the misconduct, the firm’s name was Acciona Ingeniería S.A., and it operated in Bolivia through a branch office. The debarment makes Ingeniería Especializada Obra Civil e Industrial S.A.U. ineligible to participate in World Bank-financed projects. The debarment...

When savers and firms invest and borrow beyond their national borders, they enjoy opportunities to diversify their portfolios and lower their funding costs, respectively. In Europe, this idea—of an integrated financial system that offers a richness of financing choice—remains an elusive goal: capital markets are far from integrated. <!--more--> Our recent research finds that European finance is still sharply segmented along national lines, with savers and investors depending heavily on national banking systems. Although the landscape is dotted with many different...

Demand for tertiary education continues to rise, but its further expansion will only be sustainable if it matches the supply of graduates with labour market and social needs and gives them the skills required to navigate the future, according to a new OECD report. Education at a Glance 2019, which is part of the Organisation’s “I am the Future of Work” campaign, finds that 44% of 25-34 year-olds held a tertiary degree in 2018, compared to 35% in 2008, on...

  By William Oman July 2019 was the hottest month ever recorded on earth, with countries across the world experiencing record-breaking temperatures. A prolonged drought is affecting millions of people in East Africa, and in August 2019 Greenland lost 12.5 billion tons of ice in one day. A review of the literature by IMF staff aims to spur discussion of what policies to mitigate climate change could or should include. The review suggests that, while fiscal tools are first in line, they...

By Gita Bhatt, Editor-In-Chief of Finance & Development Magazine and the Acting Chief of Policy Communications at the IMF This issue of Finance & Development reminds me of a Sufi parable. A woman sees a mystic searching for something outside his door. “What have you lost?” she asks. “My key,” he responds. So they both kneel down to look for it. “Where exactly did you drop it?” she asks after a few minutes. “In my house,” he replies. “Then why...

Keynote speech by IMF Acting Managing Director David Lipton At the Bretton Woods: 75 Years Later – Thinking About the Next 75 Conference Hosted by the Banque de France Introduction Good afternoon! Thank you, Governor Villeroy de Galhau, for convening such an eminent group to celebrate the 75th anniversary of the Bretton Woods Institutions. I know Christine Lagarde was looking forward to addressing you today. But once again the IMF is in a time of transition. Fortunately, we are accustomed to that.  A key...

In our July update of the World Economic Outlook we are revising downward our projection for global growth to 3.2 percent in 2019 and 3.5 percent in 2020. While this is a modest revision of 0.1 percentage points for both years relative to our projections in April, it comes on top of previous significant downward revisions. The revision for 2019 reflects negative surprises for growth in emerging market and developing economies that offset positive surprises in some advanced economies. Growth...