IMF Managing Director Kristalina Georgieva urged governments to rein in spending
as bond yields surge to multi-decade highs. She said Iran-related fighting and
higher energy prices have pushed 10-year borrowing costs in the US, Germany and
Japan to decades-high levels and that yields are still climbing after a recent
global bond-market selloff. Investors face continued Middle East war, major
central-bank tightening and rising public-debt burdens; global debt-to-GDP is
set to exceed 100% soon, making large deficits and high debt-servicing costs a
key drag on economic health. Georgieva said fiscal consolidation is now urgent.
