Tokyo: The global spread of swine flu could have notable effects on the world economy, a senior IMF official said Monday, warning that the financial crisis was far from over.
John Lipsky, first deputy managing director of the International Monetary Fund, said the risks posted by the new type of flu were “hard to predict” but it could have “notable economic effects.”
The global downturn is “far from over,” he said in a speech here, suggesting that many Asian nations have room to cut interest rates further to spur a recovery in their economies.
Swine flu infections across the globe have soared above 8,000. More than 70 people have died from the virus -- all of them in the Americas and nearly all in Mexico, where the new strain was first detected less than a month ago.
In Japan the number of confirmed cases shot up to at least 121 on Monday and hundreds of schools were closed to battle the outbreak.