I am happy to start with some good news. Portugal’s economic recovery is now well established, with GDP back to its pre-crisis level.
We are here to share ideas and solutions for some of the most fundamental needs and rights of our citizens, the citizens that you, the lawmakers, serve and represent. Challenges like Housing; Energy; Rights in the digital age; Trust; and, the Integrity of elections, of governments, of institutions, will be on the agenda. How timely. How urgent. How pertinent
Korea has consistently positioned itself at the leading edge of societal and technological change. Nowhere is that more visible than here in Incheon, an ultra-modern, forward-looking city by the sea.
This is a very good time to be talking about these matters. As you know, yesterday, together with Minister Calviño, we launched our 2018 Economic Survey of Spain, which fundamentally highlights the strength of the Spanish economy and urges you to continue with your reform drive towards a model of inclusive growth that leaves no one behind.
The recovery of the Spanish economy has been more dynamic than most euro area economies, with a robust 3% GDP growth in the past three years. Although it is still extremely high, unemployment has fallen to 14.5% from its peak of 26% in 2013, and in the past year alone 478 000 jobs have been created.
Today’s Economic Outlook points to a global economy that is losing steam, with the pace of global expansion easing from 3.7% this year to 3.5% in both 2019 and 2020. And one major reason for this is a breakdown in co-operation.
The Fiscal Network is an inspiring example of horizontal collaboration between the Centre for Tax Policy and Administration (CTP), the Economics Department (ECO), the Public Governance Directorate (GOV) and the Centre for Entrepreneurship, SMEs, Regions and Cities (CFE) – as well as their respective committees (CFA, EPC, PGC and RDPC).
The rising tide of protectionist measures, which we are witnessing, is harmful and costly. Recent OECD data has estimated that each dollar of new tariffs costs global households 40 cents, while each dollar of tariff reduction adds 90 cents to global household incomes.
Inequalities of income, wealth and opportunity continue to divide our societies and fuel political uncertainty and turbulence. In the OECD, the income gap between the top and the bottom deciles is now almost 10 times, up from 7 times in the 1980s. We have to reverse these trends with growth that is more inclusive, which empowers people and places that have been left behind.
2018 IMF and World Bank Annual Meetings - Written Statement to the IMFC