The International Monetary Fund (IMF) has emphasised that strong institutions, sound policies, and independent central banks are fundamental to achieving sustainable economic growth.
IMF Managing Director, Kristalina Georgieva, stated this on Monday in Washington while engaging Civil Society Organisations (CSOs) on the sidelines of the 2025 Annual Meetings of the IMF/World Bank Group.
She said institutional independence and credible economic governance remained central themes for this year’s discussions, noting that countries with resilient policy frameworks recover faster from economic shocks.
“You will hear us talk a lot about the precious value of strong institutions and sound policies. Independence of central banks and supervisors is vital for strength and resilience,” Georgieva said.
The IMF chief noted that over time, the Fund had encouraged the shift of economic activity from the public to the private sector, stressing that private enterprises were more agile and adaptable during crises.
She also highlighted that while debt levels were declining in low-income countries, it was largely due to limited access to finance rather than improved fiscal health.
“It is still incredibly difficult for low-income countries to cope with these levels of debt. Our focus is on helping countries bring debt down through effective restructuring and sound fiscal management,” she said.
Georgieva revealed that the IMF, alongside the World Bank, was working under a three-pillar framework to assist countries facing liquidity challenges and to strengthen debt resolution mechanisms through the Global Sovereign Debt Roundtable.
She added that the meetings would also address job creation, entrepreneurship, and inclusive growth, particularly for young people.
“Countries can only grow out of debt. The attention on growth and how to create better conditions for economies will be a major focus of the IMF and the World Bank,” Georgieva said.
