Asia now world's largest debtor and saver; high risk of debt distress: IMF

Asia’s economies will need to focus on fiscal stability in order to offset surging debt and to support monetary policy, the International Monetary Fund has warned.
 

In its latest outlook for the region, the IMF said Asia is now both the world’s largest debtor and saver and that several countries are at a high risk of debt distress. That means any additional spending by governments to offset the hit from food and energy shocks needs to be targeted, temporary and budget neutral, the Washington-based lender said.

“Public and private debt dynamics are already worse following the pandemic because of slower