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IMF, World Bank urged to aid middle-income country debt distress
WASHINGTON (Reuters) - The International Monetary Fund and World Bank should do more to help address the growing debt challenges of middle-income countries and identify the "root causes of excessive and unsustainable debt," the institutions' Development Committee said on Friday.
In a communique, the joint ministerial committee representing members also called on the institutions to assess the impact of climate change on macroeconomic and financial stability.
"We further encourage the (World Bank Group) and IMF to support a measurable impact in the transition to a low-carbon economy, while considering countries' energy needs and mix, and providing targeted support for the poorest. These efforts will include phasing out of inefficient energy subsidies and other distortive fiscal policies where feasible," the committee said.
Reporting by David Lawder, Editing by Franklin Paul