Politics

The new global imbalances: why care, why now and what should be done?

This essay analyses the causes of, and remedies for, external imbalances, and what countries should do if they do not decline.

Global imbalances are back: since 2018, the sums of current account surpluses and deficits have each increased by about 30 percent, reaching their highest levels since 2012. History shows that imbalances trigger trade tensions and often end in 
financial crises. Drawing on the 2026 CEPR-Bruegel Paris Report, this essay analyses the causes of, and remedies for, external imbalances, and what countries should do if they do not decline.

Source : Bruegel

GLOBAL BUSINESS AND FINANCE MAGAZINE

Recent Posts

Alpha Dhabi net profit surges 48% to $2.7bln in H1 2026

ADX-listed Alpha Dhabi Holding has posted a 48% year-on-year increase in net profit for H1…

5 hours ago

HSBC sells $25 billion Australian home and personal loan portfolio to Blackstone

HSBC , is selling its A$36 billion ($25.30 billion) Australian home and ‌personal loan book to…

5 hours ago

Big investors think it might be time to buy in South Korea

 Global investors pulled back from South Korean stocks through a wild turn in July but…

5 hours ago

From learning to earning: an AI career coach for students choosing what comes next

“Before I met Gallito, I had no real idea what I wanted to do.” The student…

6 hours ago

How Amazonian rangers are building better jobs on the frontline of conservation

Every year on July 31, World Ranger Day offers us a moment to celebrate the…

6 hours ago

The origins of the multinational premium: Managerial talent, firm risk, and corporate taxation

Multinational firms tend to earn higher stock returns than purely domestic firms, raising questions about…

6 hours ago