The U.S. has a $40 trillion debt problem, and the leader of the International Monetary Fund (IMF) says supercharging the nation’s growth isn’t enough to solve it.
Speaking during the IMF’s annual meetings in Bangkok this week, IMF chief Kristalina Georgieva said that while growth can ease the U.S. debt problem, it isn’t a catch-all solution.
“Growth, of course, helps, but it cannot deliver fast enough the necessary adjustments,” she said, adding that the budget deficit must also come down.
The Treasury Department pushed back against Georgieva’s warning by questioning the IMF’s forecasting record in a statement to Fortune.
“When we see pieces on the IMF, it’s good to remember how messy their forecasts…