NEW YORK, - Chairman of the International Monetary Fund (IMF) Dominique Strauss-Kahn, Wednesday (23 / 9) said that the global economy seems to be recovering from recession, but the crisis is not over. "Financial condition improved and the engine of growth seems to start again," Strauss-Kahn said in a speech at an international leadership conference in New York, according to the preparation.

"Not long ago, the global economy stands on the brink," he said as he warned "this crisis does not mean an end".

IMF Managing Director noted 186 state agencies have devoted a lot of resources to combat the financial crisis and the global economy the worst since the Great Depression.

Given the "panic" that followed the collapse of Wall Street investment bank Lehman Brothers in September 2008, Strauss-Kahn said that when "economic activity began to fall in a spiral."

Another Great Depression fears "are unfounded," he told the Global Creative Leadership Summit, meeting of heads of state, business and international leaders and Nobel Prize winner. "But these days the world looks different. The crisis is not over, but I hope the worst is now behind us. We seem to have turned a disaster," he said.

Chairman of the IMF stressed that the agency was projecting that the global recovery "first part" of the year 2010. "When the crisis took place, I think we've proven our assessments with our realistic estimate, both for growth and for credit losses," he said.

The IMF is scheduled to publish economic forecasts that the world updated on October 1. "As we see the global financial crisis at the moment, the worst since the Great Depression, the risk is very high," he said.

"The global economy could be facing ruin. But we stepped back from the brink, and the IMF certainly played its role," she said.

At the Summit Group of 20 (G20) in the United States, Strauss-Kahn also underlined the role of the IMF "as a policy adviser, particularly emphasizing the need for common, coordinated action."

"The IMF is one of the first to get the policy response is now a part of conventional wisdom, especially the fiscal stimulus and the need to restructure the banking system," he said.

Strauss-Kahn highlighted the institution's promotion of economic stability and world peace. "The stakes are very high in the low-income countries, where populations are very vulnerable," he said.

He noted that the IMF was created in the aftermath of World War II to fight the economic roots of war. "In many areas of the world, what is at stake is not only higher unemployment or lower purchasing power, but life and death itself," said the former French Socialist finance minister.

"Economic marginalization and poverty could lead to social unrest, political instability, or a breakdown of democracy. We could see the war. This is what we must avoid," he insisted, urging for "sustained assistance" to countries in need.

"When the nations of the world come together to address common challenges in a spirit of solidarity, we can achieve peace and prosperity cycle, and avoid the vicious circle of conflict and stagnation. At first glance, this may seem incidental to the role of the IMF. But no. This supports our mandate, "he said.

Strauss-Kahn's speech came on the sidelines of the UN General Assembly and before the two-day meeting of G20 leaders of developed countries and developing that opened Thursday in Pittsburgh, Pennsylvania.

Hosted by U.S. President Barack Obama, leader of the G20 are expected to discuss their efforts to an unprecedented effort to stem the economic, financial system reform, and climate change.


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