WASHINGTON (Dow Jones)–The value of the U.S. dollar could decline as markets lose confidence in the ability of the government to pay its bills if lawmakers fail to reach a deal to raise the debt ceiling, the head of the International Monetary Fund warned Thursday.
If no deal is reached before the Aug. 2 deadline set by the U.S. Treasury, “It would probably entail a decline of the dollar relative to other currencies,” IMF Managing …
Tags: Monetary
SIGNIFICANT injection of N1.3 trillion by the Federation Accounts Allocation Committee (FAAC) and the estimated N1.6 trillion intervention of AMCON in rescued banks have forced the Central Bank of Nigeria (CBN) to, once again, tighten the monetary policy, to curtail the inflationary pressure arising from such huge injections.
Governor of the CBN, Mallam Lamido Sanusi, while addressing the media in Abuja, on Tuesday, shortly after the 77th meeting of the Monetary Policy Committee (MPC) held at the apex bank corporate headquarters, said the committee welcomed the favourable growth projections, but cautioned that the security challenges, infrastructural bottlenecks and the uncertainty in the international economy and the fiscal developments could undermine investors’ confidence and output growth in the near term.
In view of the need to proactively address the impact of the huge liquidity injection and correct the negative real interest rate situation in the market and attract foreign capital inflows to build up reserves to protect the economy against external shocks, Mallam Sanusi said the MPC decided to tighten monetary policy by a majority decision of 10 to two and raise the Monetary Policy Rate (MPR) from 8 per cent to 8.75 per cent by a majority vote of eight members in its favour.
Tags: Monetary
1 day ago
WASHINGTON — The International Monetary Fund on Thursday announced its top spokesperson, Caroline Atkinson, is leaving the Fund to become a special assistant to US President Barack Obama.
Atkinson, the director of external relations at the Washington-based global lender, will join the White House in August as “special assistant to the president for international economic affairs,” the IMF said in a statement.
After a career spanning the IMF, the US Treasury and the Bank of England, the British-US national, an Oxford graduate and former journalist, returned to the IMF in November 2008 as head of external relations amid the financial crisis that triggered the global recession.
The White House tried to recruit her, a few months after Obama took office in January 2009, as a deputy to Treasury Secretary Timothy Geithner. But she decided to remain at the Fund.
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Tags: Monetary
NEW YORK — With the dust slowly settling on last nights 4-0 All-Star Game thrashing of the MLS at the hands of Manchester United, the league wakes up this morning to the realization that things arent as bad as they looked in the dusky haze of last night, and that it doesnt even have a hangover.
With the perspective of hindsight comes the realization that the MLS All-Stars, or all of Major League Soccer for that matter, neednt tread the walk of shame today.
First things first: This was an exhibition game. This was not a referendum on the league. Although many billed it as such, that was never a fair characterization. The All-Stars had just two days together, and only about two hours of serious training at that, to somehow glue-stick together a team with enough structural integrity to face a painstakingly assembled and precisely calibrated behemoth.
Tags: Game
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