Increase Spending: IMF Urges Governments to Spend More to Help Boost Struggling Economy
January 19, 2021 2:26 PM
For most economies who have been flattened by covid19 pandemic, various policy and law makers are seeking ways to improve their dying economy.
At the recent Russia’s annual Gaidar economic forum on friday, according to the head International Monetary Fund (IMF) who has urged various Government to heighten spending in a bid to revive their stuttering economies.
This move have been seen with U.S policy makers with various stimulus package being sent back into the economy which was a major factor to set Bitcoin (BTC) for a parabolic rise as we've seen in Bitcoin move to $40k.
The International Monetary Fund (IMF) managing director Kristalina Georgieva has urged Governments and policy makers around the world to increase spending to help revive their economies, according to Reuters reports saying:
"In terms of policies for right now, very unusual for the IMF, starting in March I would go out and I would say: ‘please spend’. Spend as much as you can and then spend a little bit more".
“I continue to advocate for monetary policy accommodation and fiscal policies that protect the economy from collapse at a time when we are on purpose restricting both production and consumption,” she added. “IMF staff calculated that a coordinated G20 fiscal stimulus in green infrastructure, if it is done in a coordinated manner, would deliver two-thirds more in growth … than if each country acts on its own.” Georgieva also noted that in 2020, the IMF provided support to 83 countries.
Bitcoin community on social media view this news as ultra bullish for Bitcoin, Many people interpret the IMF chief’s plea as “brrrr as much as you can.” Others commented: “Money printer goes brrrr” and “buy bitcoin.”
This is not the first time that the crypto community has discussed how massive government spending would boost the price of bitcoin, a massive win for Bitcoin according to many.