The International Monetary Fund, the IMF says it is ready to help countries hit by the rampant financial crisis. It has activated an emergency financing mechanism that was first used in the Asian crisis in the nineteen nineties.
Dominique Strauss Kahn is Director of the IMF. He said “Our view is that the situation is very serious. But at the same time that we can solve problems if we can act quickly, forcefully and cooperatively. The worst situation would be that after the crisis, when it would be behind us, we just say, ok we can go back to business as usual.”Robert Zoellick,is President of the World Bank: The world Bank economic staff is tentatively forecasting that the growth rate of developing countries could decline from 6.6 percent next year, our April forecast is closer to 4 percent. This is still a respectable rate of vgrowth but the deceleration would be so sharp as to feel like a recession.”
The World Bank and the IMF believe the worst economic crisis since the 1930s could inflict lasting economic harm on the world.