G7: Global Economic Growth An ‘Urgent Priority’

Tokyo: The leaders of the G7 group have said the world economy is an urgent priority and cautioned that a British vote to leave the European Union would seriously threaten global growth.

The G7- made up of Britain, Germany, Canada, France, Italy, Japan and the US - also warned that a British secession from the EU in next month’s referendum could have disastrous economic consequences.

In a statement following a two-day summit in the Japanese resort of Ise-Shima, the world’s seven leading industrial nations pledged to “collectively tackle” major risks to global growth and committed to a cooperative approach in beefing up policies to stimulate their sluggish economies.

“Global growth remains moderate and below potential, while risks of weak growth persist,” the G7 leaders said in a declaration on Friday. “Taking into account country-specific circumstances, we commit to strengthening our economic policy responses in a cooperative manner and to employing a more forceful and balanced policy mix, in order to swiftly achieve a strong, sustainable and balanced growth pattern,” the G7 statement said.

Last month, the International Monetary Fund (IMF) cut its global economic growth outlook for this year to 3.2 percent, compared to a forecast of 3.4 percent in January.

For 2017, the IMF said the global economy would grow 3.5 percent, down 0.1 percent point from its January projection.

Moreover, the G7 group also called large-scale immigration and migration a major challenge. It pledged to increase global aid for the immediate and long-term needs of refugees and displaced people.