Weidmann Hits Back After Lagarde Criticizes German Surplus
- Bundesbank head speaks after criticism by IMF chief in a blog
- Lagarde and Weidmann are both attending Frankfurt conference
Christine Lagarde and Jens Weidmann
Photographer: Sean Gallup/Getty Images
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Jens Weidmann hit back at criticism of Germany’s current-account and budget surpluses by International Monetary Fund Managing Director Christine Lagarde, saying that increasing public spending would be the wrong way to go.
The Bundesbank president kicked off a joint conference by the two institutions by insisting that Europe’s largest economy doesn’t need more expenditure, though he agreed that it should be better planned. Public outlays should shift away from consumption and toward targeted investment, he said.