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Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Photos Sitemap IMF chief plays down raising inflation targets AFP - Sunday, April 11 Send IM Story Print International Monetary Fund (IMF) chief Dominique Strauss-Kahn, pictured on April 4, said Saturday it still believed in "low and stable inflation" despite a suggestion from its chief economist that targets could go higher. CAMBRIDGE, England (AFP) - – The head of the International Monetary Fund said Saturday it still believes in "low and stable inflation" despite a suggestion from its chief economist that targets could go higher. At a conference in Cambridge, eastern England, Dominique Strauss-Kahn played down proposals made by Olivier Blanchard in February that inflation targets could be raised from about two percent to four percent to allow central banks to respond better to shocks. "I think this is an interesting idea that merits serious discussion, but it is not the principal question for monetary policy and should not distract us from more important concerns," he said. "Let me also be clear: we remain an institution that believes that low and stable inflation delivers positive benefits for growth and macroeconomic stability." Earlier this week, it was reported that Germany's Bundesbank had sharply criticised a joint IMF-EU aid plan for stricken Greece, saying the IMF had become the "Inflation Maximising Fund". The EU-IMF scheme to bail Greece out has been highly contentious, mainly because of German ambivalence linked to its concerns over protecting the credibility and stability of the eurozone and monetary conditions in Germany. Protesters briefly disrupted Strauss-Kahn's speech at Cambridge university's King's College, which was hosting a conference organised by the Institute for New Economic Thinking, a body set up with a grant from financier George Soros. Concealed above the stage in the main hall, the protesters unveiled a large banner behind Strauss-Kahn which read: "The IMF is part of the problem, not the solution", and one of them cried: "Shut down the IMF." The banner was quickly removed and Strauss-Kahn brushed off the protest. Security staff, who said the protesters were young people and likely students, escorted them from the building. Commenting on the global economic crisis, Strauss-Kahn said the world was on the path to recovery but it remained "sluggish and uneven" and the costs, such as high unemployment and public debt, "will take many years to overcome". Recommend Send IM Story Print News Search Top Stories Greece to raise fresh loans, hopes EU seals debt plan American teen aims for Everest record IMF chief plays down raising inflation targets McCoy breaks Grand National jinx on Don't Push It Eurogroup ministers to discuss Greece soon More Top Stories » ADVERTISEMENT Most Popular Most Viewed Most Recommended Two-million-year-old hominid sheds light on evolution Taiwan's male 'Susan Boyle' a web sensation EU leaders back Greece, markets bet on bailout Supreme Court justice to retire, Obama gets new pick UN rifts exposed after Copenhagen setback More Most Viewed » 'Rare' fossil of new dinosaur species found in US Two-million-year-old hominid sheds light on evolution Taiwan's male 'Susan Boyle' a web sensation Junkies and junk-food addicts share craving mechanism Toad is a telltale for impending quakes: scientists More Most Recommended » Elsewhere on Yahoo! Financial news on Yahoo! Finance Stars and latest movies Best travel destinations More on Yahoo! News Home Singapore Asia Pacific World Business Entertainment Sports Technology Subscribe to our news feeds Top StoriesMy Yahoo!RSS » More news feeds | What are news feeds? Also on Yahoo Answers Groups Mail Messenger Mobile Travel Finance Movies Sports Games » All Yahoo! Services Site Highlights Singapore Full Coverage Most Popular Asia Entertainment Photos World Cup 2010 Copyright © 2010 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Terms of Service | Privacy Policy | Community | Intellectual Property Rights Policy | Help

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