The Governor reviews the problems facing the world economy and in particular the prospects for heavily indebted middle-income developing countries. He argues that for these countries relief of the kind proposed for the poorest African states would be neither practical nor appropriate and that the key to a long-term solution must lie in adjustment. As an exemplar of the way forward he points to the experience of the economies of the Far East and the common factors behind their successful economic performance-adoption of a free enterprise system and freer markets, export-oriented policies, development of agriculture, encouragement of high saving rates and a willingness to adjust monetary and exchange rate policies to changing circumstances.
Growth, debt and development - Governor's speech