IMF chief asks UK to pursue ‘coherent and coherent’ policies

Georgieva said she had a “very constructive” meeting with British Chancellor of the Exchequer Kwasi Quarting and Bank of England Governor Andrew Bailey during the International Monetary Fund’s annual meeting this week in Washington.

“We discussed the importance of policy coherence and clear communication so that there is no reason for more tension in this turbulent environment,” he said.

The International Monetary Fund during ministerial and central banker meetings this week stressed the need to maintain fiscal discipline as central banks raise interest rates to rein in hyperinflation.

“Our message to everyone, not just the UK, is to everyone now: fiscal policy must not undermine monetary policy,” Georgieva emphasized. “So don’t prolong the pain and make sure the measures are consistent and consistent,” he added.

Courting rattled markets last month when he cut taxes and froze energy prices in a bid to ease the cost of living crisis, a move that raised fears of an increase in UK debt.

The move prompted the Bank of England, which had been raising borrowing costs, into the bond markets to help protect financial stability.

Kwarteng has since rescinded her proposal to cut taxes on the wealthiest and brought forward debt reduction plans and the economic outlook to October 31.

The British pound rose against the dollar on Thursday after reports that British officials were discussing how to roll back costly tax cuts.

While Georgieva called for consistency, she said that “it was right to be guided by the evidence, so if the evidence is that there should be a re-evaluation (of policy), then it is right for governments to do so.”

lth / dw / ad / mr