Great Britain May Ask for Help from IMF

The deepening government deficit in the United Kingdom has alarmed so many economists that some ohave started to consider the option of lending from the International Monetary Fund (IMF), even if British Prime Minister Gordon Brown rejects the idea at the moment, informs AFP.

Finance Minister, Alistair Darling, who will present the budget on April 22, warned that the recession from country is “worse than we expected”.

According to “Sunday Times”, British economy could contract with three percent in 2009, the strongest decline after 1945, while the Minister of Finance, in November 2008, said that in 2009 there will be a contraction of only one per cent. Many economists think it will be even greater.

Under these adverse economic conditions, began to circulate the hypothesis of a request to IMF. American financiers, George Soros, said at the end of March, in the “Times”, that it is worried that “banks holes are covered by increasing debts” of UK, also estimating that calls for the IMF is “possible” but not “probable”.

Simon Johnson, who was an IMF economist, went further, noting that the British government “needs help” because the economy is “in a very difficult situation”; estimating that Greece, Spain, Ireland and Italy should also to think of the help.