The IMF said the main risk to the US economy
The possibility of the outbreak of the coronavirus is the primary risk for the U.S. economy, says the report of the International monetary Fund for the annual visit of specialists to the country in accordance with article 4 of the IMF Charter.
"The main risk that is very difficult to define in numerical terms is that re-growth in the number of cases COVID-19 in the United States may lead to a partial suspension of work to save lives, especially vulnerable populations... Already have the emergency warning signs of the fact that the depth of the economic recession and the sectoral distribution of the economic losses will lead to a systemic rise in poverty that will complement the macroeconomic risks," the document says.
It is noted that despite the cautious approach of the authorities to resume the work of the economy smooths out the risks, growth in the number of infections in several States in recent years has lead to the re-termination work. This development will also lead to lower tax revenues in the budgets of state and local budgets this year and next can create difficulties, particularly for the poor, the report says.
"The historic amount of fiscal packages (support) together with a lower level of nominal GDP will lead to a noticeable jump in the ratio of us debt to GDP. Low interest rates will give some breathing space, but when the economy is more firmly on his feet, the primary structural balance would lead to moderate growth to stabilize the debt situation", - the document says.
According to its authors, to do this the authorities will have to take "difficult political decision" to increase revenues and reduce costs, including by imposing new or raising existing taxes.
"We need to take steps to roll back existing trade restrictions and raising taxes, while working with partners in matters that disrupt trade flows and investment decisions", - the IMF said.
Recent data on the situation of COVID-19 in Russia and the world presented on the portal stopmanager.of the Russian Federation.