Fed: IMF says world economic outlook rosy =2

AAP General News (Australia)
04-22-2004
Fed: IMF says world economic outlook rosy =2

(Eds: IMF report embargoed to 1500 GMT (0100 AEST) Thursday, April 22)



Treasurer Peter Costello said that despite the positive report card, Australia faced
several medium and long-term challenges.

"Although the near-term outlook is positive, there are a number of challenges and risks
to the medium-term outlook, which need to be addressed to ensure the sustainability of
the recovery," Mr Costello said in a statement.

"These risks include global imbalances in current account positions and managing the
transition to less accommodative macroeconomic policies."

He said the government's commitment to reform and sound macroeconomic policy had been
the key to Australia's relative stability.

"While Australia's medium-term prospects are favourable, the IMF points to the fiscal
pressures arising from an ageing population as an area for continued reform," Mr Costello
said.

AAP pjo/cjh/de

KEYWORD: ECONOMY N/L 2 CANBERRA (REOPENS)

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