International Monetary Fund Managing Director Kristalina Georgieva says China needs structural reforms to halt "a fairly significant decline in growth rates."
Some firms sustain their businesses by taking on more debt that they can repay. Economists call them zombie companies. When compared to their peers, zombies are smaller in size and deliver lower returns to investors. These companies distort markets, keeping resources from their fundamentally sound competitors. Banks and governments keep zombie firms alive with bailout loans. As the Federal Reserve resets the economy with higher interest rates, many zombie firms are filing for bankruptcy.
IMF Managing Director Kristalina Georgieva says that in order to bring global trade up, the creation of economic corridors should not exclude countries. For trade to become an engine of growth again, the world must create "corridors and opportunities," she told CNBC in an exclusive interview.
The IMF’s Managing Director Kristalina Georgieva tells CNBC’s Martin Soong that the World Bank and IMF are complementary but yet have differing expertise. "The world needs institutions to work together," she said in an exclusive CNBC interview on the sidelines of the G20 leaders' summit.
Reza Baqir, managing director at Alvarez & Marsal and former governor of the State Bank of Pakistan, says "there will be pledges, but if history is any guide … the world will not have an adequate mechanism to monitor how those pledges convert to actual inflows for developing countries."