Kristalina Georgieva, managing director of the International Monetary Fund, which has warned of the scale of the task of economic rebuilding after the coronavirus pandemicTaxes will need to be raised or spending cut once the economy recovers from coronavirus to fix the public finances, the International Monetary Fund has warned. Britain’s national debt will jump from 85.4 per cent of GDP to 95.8 per cent by 2021 as borrowing quadruples to 8.3 per cent of GDP this year to pay for the emergency, the fund has estimated in one of the more benign economic forecasts published recently. “Once the Covid-19 crisis is over, prudent fiscal policies call for appropriately paced, inclusive and credible adjustments to put debt ratios on a firm downward trajectory,” the organisation said in its biannual Fiscal Monitor. Its warning that the extra borrowing will have to be paid for somehow was echoed by PWC,

Source: The Times April 15, 2020 22:52 UTC