IMF head Kristalina Georgieva said on Wednesday that she anticipates Rishi Sunak, the country’s new prime minister, will lead it toward fiscal sustainability and that he was correct to caution the population about impending difficult choices.
In a statement to Reuters from Berlin, Georgieva praised Sunak for having the clarity and proactive attitude she was familiar with from his stint as the finance minister. She anticipates speaking with Jeremy Hunt, the recently appointed finance minister, in the upcoming days.
She stated, “The incoming prime minister arrives with a platform that he has developed during his time as a chancellor, and it is one of being very conservative in bringing fiscal discipline to the UK.
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In order to give himself more time to make the “correct decisions” about how to manage the British economy, the newly appointed UK Prime Minister Rishi Sunak postponed an economic strategy scheduled for Monday until Nov. 17. Sunak’s office released a recap of Wednesday’s Cabinet meeting that included the information on the postponement from Oct. 31.
According to the readout, Sunak advised his newly appointed senior team of ministers that “it is necessary to reach the proper judgments and there is time for those decisions to be validated with Cabinet.” The Autumn Statement will include a complete forecast from the Office for Budget Responsibility and will outline how to get public finances on a sustainable foundation and see debt down in the medium term.
On Tuesday, Rishi Sunak was elected as Britain’s third prime minister in as many months. He promised to steer the nation out of a dire economic crisis and restore faith in the political system. According to a story in The Times, Sunak may postpone a fiscal statement that was scheduled for next week in order to close a $46 billion deficit in the UK’s finances.
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“A brief delay wouldn’t be a bad thing,” according to foreign minister James Cleverly, to ensure that the administration prepares the budget statement accurately. When questioned about it, Georgieva responded that she did not anticipate any changes to the plans for issuing the statement.
