IMF Official Urges UK to Master Debt Management and Sustain Investment

Vitor Gaspar, the Director of the International Monetary Fund's Fiscal Affairs Department, emphasized the importance of safeguarding public investment while managing the UK's debt. Speaking at a press conference, Gaspar did not specifically address potential changes to the UK's fiscal rules that might allow Chancellor Rachel Reeves to increase borrowing. However, he noted that the ongoing fiscal discussions in the UK are a positive development.

Gaspar pointed out that the IMF's fiscal monitor report stresses the importance of protecting public investment within a framework of rules and budgetary procedures that promote stable macroeconomic performance. He expressed satisfaction that these discussions are at the forefront of fiscal debates in the UK. The IMF official's remarks came amid assessments of fiscal rules designed to ensure economic stability and growth in the UK.