IMF: Central banks have little room for error

Central banks have little room for error in a low-growth world in which over-leveraged and commodity-dependent emerging economies and a slowing China are major risks, top international financiers told the International Monetary Fund’s meeting.

Despite $7trn in quantitative easing from banks in industrial nations since the global financial crisis, the world is stuck in a “new mediocre” growth pattern, IMF chief Christine Lagarde said on Thursday.

In a bid to shore up finances and punish companies that arbitrage tax regimes, governments pushed ahead with plans to improve tax collection.