IMF Says Germany Should Implement Spending Hike

The International Monetary Fund says that Germany should consider loosening up and boost its overall spending activity particularly on the country’s infrastructure sector in order to dodge possible low inflation rates in the long run. The IMF also encouraged the country to increase its wages and lend a hand to the ECB with regards to putting a stopper to its ultralow interest rate policy. In addition, the fund also called for Angela Merkel to put effort into increasing German domestic demand in the midst of a heavily-surplused three-year budget.