China\u2019s central bank chief has urged the IMF to serve as a bulwark against \u201crising unilateralism\u201d, at a time when escalating trade restrictions and an intensified Middle East conflict threaten energy and food security.<\/p>\n
The International Monetary Fund should \u201ctake a clear stand against protectionism and defend multilateralism\u201d, People\u2019s Bank of China governor Pan Gongsheng said in a statement to the fund\u2019s International Monetary and Financial Committee, for its 53rd meeting, held on Thursday and Friday in Washington.<\/p>\n
\u201cThe recent intensification of geopolitical conflicts has further dragged down global economic growth, exacerbated volatility in financial markets and undermined global financial stability,\u201d Pan said.<\/p>\n
Pan said China wants the IMF to strengthen surveillance of budgetary risks facing \u201cmajor advanced economies\u201d, and of the spillover effects<\/a> of those risks.<\/p>\n \u201cIt should be emphasised that trade protectionism cannot resolve global imbalances, and that stable, rational and predictable cooperation is extremely valuable,\u201d his statement showed.<\/p>\n Pan\u2019s voice joins a growing chorus of concerns about the global economy amid the US-Israeli war on Iran and an intensifying energy crisis. Since February 28, military strikes have effectively closed the Strait of Hormuz, through which transits about one-fifth of the world\u2019s oil and liquefied natural gas. The resulting price spikes and supply shortages are expected to disproportionately hurt developing countries without strategic fuel reserves.<\/p>\n