Lagarde Urges Germany to Lift Public Spending Amid Trade Surplus
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Christine Lagarde
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IMF Managing Director Christine Lagarde encouraged Germany to step up government spending to boost growth, noting the country’s current-account surplus is too large.
The International Monetary Fund sees a “particularly strong case” for Europe’s biggest economy to take advantage of its budget surplus to invest more in public infrastructure such as roads and railways, Lagarde said Wednesday in a blog post, adding that the government shouldn’t rule out running a deficit. The Washington-based lender has also advised Germany to spend more on reforms that help women go back to work, such as more childcare centers, she said.