IMF warns Europe over rising public debt risks
The International Monetary Fund (IMF) warned that European countries must accelerate economic growth or reduce borrowing to maintain sustainable public debt levels.
The IMF projected eurozone growth of 1.1% in 2026 and 1.2% in 2027.
The IMF said roughly three-quarters of European countries would require structural reforms and medium-term fiscal consolidation. Rising defense spending, aging populations and energy transition costs could increase pressure on public finances and create longer-term risks for European bond markets.
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