turning to the imf. the committee continues to support a back to basics approach to the fund after several years of adventurism in europe, especially the ill-fated bailout of greece. while pleased to see the fund and its participation in the greek program earlier this year, the imf has embarked on a new record breaking program in argentina. $57 billion defaulted on external debt no less than eight times in its history and which has gone to the imf more than 20 times in the past. the u.s. remains supportive of the current argentinean government. history will repeat itself if the economy is further. a tax on exports, for instance, is puzzling at a time when argentina needs growth and foreign exchange. we should also apply lessons from the imf's experience in greece to ensure that argentina's debt burden is manageable. beyond argentina, the committee continues to question how the pressu treasure department intends and the u.s. to advocate for u.s. interests. the committee is interested in just how temporary

negotiation with the imf.that is pursuant to law, when the imf asks for a negotiation then we consult with congress and notify congress of that process. so that is at the beginning now, going forward into 2019 of a process of consultation, which will get into the question that you mentioned. so we don't have an administration policy on that, and we haven't yet been in the process of consulting with congress. >> so there is some severability you see, between not agreeing to increase the quota and participating in the nab? do you agree with me it would be kind of catastrophic for us to shut down the nab? or to incentivize the other countries to withdraw their $250 billion? >> the ima's that says imf basis, if nothing is done, as you pointed out, the nab expires and the imf resources would go down from their current levels. >> you don't intend to do that, i just want to get you on record saying that. >> we are currently in the process of reviewing the resources of the imf and the potential need for those resource

seeking imf assistance. separate but related to comprehensive data reporting is china's reluctance to join the paris club. given china's role as the largest single bilateral creditor, its failure to join with other creditor nations in seeking cooperative approaches to data collection and to debt relief, undermines recipient countries, followo creditors and the integrity of the system. the issue of data is where the funds work on capacity of the system. particularly relevant. the imf should be relative to china in boosting its ability to track credit and credit like instance. capacity development should also be prioritized for recipient countries so that they can assess financing terms. and address between borrowers and creditors. expanding the envelope of data that member countries are obligated to provide in the context of imf surveillance is also worth investigating. to close. i suggest boosting tranparency. promote global financial stability. and by enhancing the technical capacity around the world. maint

the imf focuses on macroeconomic issues as opposed to development, but the imf has also thought about climate as a and we seemic issue, real macro economic impacts from climate change. mislead: yes, absolutely. i also think the wto could play a more constructive role with respect to climate change, to allow countries that go first to reduce carbon are not put at a competitive disadvantage through trade, so allowing border adjustable methods to adjust at the border for the difference in prices between countries moving quickly and countries moving more slowly. ms. hillman: i totally agree. i would agree with mislead there is more the wto can do to reduce tariffs on anything that would contribute in terms of renewable energy types of goods. there has been a long fight over what products should be on that list. that fight needs to be over today so that you can go to zero duties and zero restraints of trade inon the renewable energy materials, in order to make the contribution. wto is also working at disciplines on fossil fuel subsidies, which is the other way in which the trading system c

when the imf team came in, we shared all the imf team came in, we shared all the details with them.y wanted. after the first meeting, i didn't hear any questions from them, because there was nothing to hide. did you see the words are not long ago of mike pompeo, the us secretary of state, when he was asked about his view of the imf helping pakistan in the future? he said make no mistake we are going to watch what the imf is doing very closely. there is no rationale for imf dollars associated with american dollar is being used to bail out chinese bondholders or china itself? we will worry about our china debt problem. mr pompeo should worry about his china debt problem. usa is the biggest debtor in the world to china, $1.3 billion. what does pakistan oh to china? less than 10% of pakistan's foreign debt, 90% is not chinese. we have been in 12 different imf programmes in the last 20 years. why has it never been asked of which country has lent to pakistan? why is this suddenly all this interest in how much money has come from china. why were the same question is not being asked when th

we have been in 12 different imf programmes in the last 20 years. lent to pakistan? why is there suddenly all this interest in how much money has come from china? why were the same questions not being asked when the lenders were western banks? you told me that the baloch people are thrilled china is putting so much money and infrastructure into their region. it is a little embarrassing, isn't it, when, recently, in the port city of gwadar, which you are trying to develop as a mega—port at the end of this sort of chinese transportation infrastructure through the region, it is a little embarrassing at the time you were taking delegates i believe from more than 20 countries to look at the potential of all of these projects, gunmen shot dead three workers, injured five others, and that was the fourth fatal shooting in the area in a few short months. the security situation — the degree of insecurity around that region and the anger that i have referred to that is generated among some by what is happening, that is a real threat to stability in balochistan

many people don't know what the imf actually is.hristine: the international monetary fund was set up 75 years ago by 44 men who decided that -- david: no women? christine: there was no woman in those days. so 44 men in 1944 on the eve of the end of the second world war with a view to avoiding major economic crisis, major instability in the world, which in their view led to the war. so that is the intention. david: where do you get your money? christine: from all the membership. every member, 189 members, every member contributes to the financing of this common pot. david: it seems to be an informal understanding that the world bank would be headed by an american and the imf by a european. and that has been the case ever since then. am i correct? christine: i want to believe it will be headed by someone who has the competence to do the job. but it is a fair observation that it has been a european of the fund and an american at the bank. i think that is how they cut those arrangements in the early days at a time when the world looked

many people don't know what the imf actually is. christine: the international monetary fund was set up 75 years ago by 44 men who decided that -- david: no women? christine: there was no woman in those days. so 44 men in 1944 on the eve of the end of the second world war with a view to avoiding major economic crisis, major instability in the world, which in their view led to the war. so that is the intention. david: where do you get your money? christine: from all the membership. every member, 189 members, every member contributes to the financing of this common pot. david: it seems to be an informal understanding that the world bank would be headed by an american and the imf by a european. that has been the case ever since. am i correct? christine: i want to believe it will be headed by someone who has the competence to do the job. it is my observation it has been an american at the world bank. i think that is how they cut those arrangements in the early days at a time when the world looked a lot different. david: well, the world l

david: you have done a good job at the imf.hing you have to worry about is not just countries not doing well but the economy of the world. your job is to remote stability -- promote stability and development and employment. how do you think we are better prepared around the world for another financial collapse like 10 years ago? christine: i think we are better prepared. at least in certain areas we have learned lessons. when you look at the banking system, when you look at the ring of supervisors, when you look at the set of regulations that apply, we are much better prepared. the banks around the world, capital ratios, liquidity ratios, leverage on all those fronts we have made progress. there are areas because risks tend to trouble the french and if you look at other areas, pension funds, syntactic elements to my those are areas where i am not sure we have the same added security in relation to the banking sector. that -- there are other numbers much more worrying. when you look at debt, there is a weight of debt on corporat

another warning from the imf. at businesses, the big concern is uncertainty and the imf is highlighting the risks from slowing down their investment, business is not making decision from the trade war so this is a new conversation and risk of possible recession in the us by 2020. that is gaining traction in terms of what people are saying. huge pressure on the feds to make this week so there is huge anxiety over whether raising interest rates is significant not. if you survey business, particularly in the uk but one of the biggest concerns is the global economy and not the u.k.'s. the financial times has the story that we have mentioned, i was talking about this earlier, reported now that china may be looking to reduce tariffs on us made cars going in to china to 15% which would be a huge shift. and companies who have been struggling good be helped by this. it will help in terms of overall trade but will not make much difference. it is a step in the right direction. and this goes back to the point that has been ma

we're joined now by managing director of fund the imf, christine lagarde is with us, imf has 189 countriest works to promote global economic cooperation and trade, madam lagarde, welcome to the broadcast. >> thank you. >> brennan: we saw the pictures of protests in your home country of france, the french finance minister says this will have an economic toll on the country, you used to have that job. what do we make of the kind of anger and economic grievances that we're seeing in the streets there? >> these are very sad images and to see what is happening in paris is extremely sad. will have economic impact, no doubt about it. i really hope that the dialogue estsh,hat people can express their views, grievances can be heard that they can be addss well. i any there is a lot of interesting developments about yellow vests, a lot of people who have infiltrated those movements who are demonstrating with violence and that is not the way it should be conducted. >> brennan: i think these pictures are interesting, if you look at the globe right now it brings up something i know you've been warning a

david: now when you are the head of the imf, do people recognize you?t of ego food, which i take and store for the hard days. david: how did you get to be the head of the entire firm? christine: it is often in those situations that a woman appears. david: so with synchronized swimming, you became a member of the national team of france. christine: yes, but i did european championship and many international events. david: did you experience a lot of discrimination? christine: when i interviewed with law firms, where i was told back in those days that i would never make partnership because i was a woman. >> would you fix your tie please? david: well, people wouldn't recognize me if my tie was fixed, but ok. just leave it this way? all right. ♪

the imf sees risk on the horizon for the global economy. >> we will surely have another downturn. question will be, is that a garden-variety downturn or another more serious crisis like we have had be for? juliette: this is bloomberg. ♪ ♪ there's no place like home ♪ argh! i'm trying... ♪ yippiekiyay. ♪ mom. ♪ juliette: welcome back. in a week where global markets continue to show volatility, conversation on bloomberg turned to the outlook for growth and the out seven impending recession. let's start with managing director david lipton, who shared his insight with bloomberg surveillance. risks in thee global economy. we will have another downturn and the question will be is it a garden-variety downturn or a serious crisis? what we do is going to determine that. there are opportunities with technology. there are opportunities for a better future but we can only reap those if we work together so it is important everyone speak about that and we can have a broader understanding of the situation. >> what are the chances of a downturn? so the beginning in the next 18 months, and what ro

manager imf deputy david lipton who shares his insight with bloomberg surveillance.e have many risks in the global economy. we will surely have another downturn. is it a garden-variety downturn or another more serious crisis like we've had before? what we do now will determine what we do later. there is so much technology with new technology -- we can only read those opportunities if we work together. speakimportant that we about that and we have a broader understanding of the situation. >> what are the chances of the downturn or the beginning of a downturn in the next 18 months? what role does the u.s.-china trade tensions play in this possible downturn? it is very hard to know exactly when downturn will come and what will be the precipitating cause. history tells us there will be another downturn. we have to realize that national policy responses maybe a little less potent this time. monetary policy doesn't have room because interest rates are still so low. as the policy doesn't have as much room as before because that's -- debts are higher. in many respects, we ma

david lipton of the imf sees risk on the horizon for the global economy.will surely have : another downturn. the question will be, is that a garden-variety downturn or another more serious crisis like we have had before? juliette: this is bloomberg. ♪ juliette: welcome back to "bloomberg best." in a week when global markets continue to show volatility, conversation on bloomberg television turned to growth and the outward impending recession. let's start with imf deputy manager david lipton who shares his insight with bloomberg surveillance. david: we have many risks in the global economy. we will surely have another downturn. the question will be, is it a garden-variety downturn or another more serious crisis like we've had before? what we do now will determine that. there is so much technology with new technology -- we can only read those opportunities if we work together. it is important that we speak about that and we have a broader understanding of the situation. >> what are the chances of the downturn or the beginning of a downturn in the next 18 mont

the imf repeating warnings about trade. christine lagarde said the

pakistan has been a repeat user of imf three and sources. -- imf resources.haad: they got $5 billion from saudi arabia, but nothing left in their foreign reserves. ofwhen you look at the level reserves against the looming debt payments over the next few years, they need to fill that gap. that's why the imf is one of the solutions to the financing gap. rishaad: which country do you want to talk about? david: india? elections next year, the economy still growing rapidly. what will be the triggers? >> we have a stable outlook on india, triple b minus, unlike indonesia and the philippines upgraded to triple be. -- triple b. two key weaknesses, one the fiscal's, high public that levels, 70% of gdp. has a fiscalt consolidation plan over the medium-term, but with elections looming, populist policies cannot be ruled out. we will see pressure there. we want evidence they can stick to fiscal targets. we saw in recent months the banking system, the failure of a nonbank financial institution, and that is causing credit growth to dry up and maybe one of the reasons growth

david lipton of the imf sees risk on the horizon for the global economy. will have another downturn. the question will be, is that a garden-variety downturn or another more serious crisis like we have had before? juliette: this is bloomberg. ♪ comcast business built the nation's largest gig-speed network. then went beyond. beyond chasing down network problems. to knowing when and where there's an issue. beyond network complexity. to a zero-touch, one-box world. optimizing performance and budget. beyond having questions. to getting answers. "activecore, how's my network?" "all sites are green." all of which helps you do more than your customers thought possible. comcast business. beyond fast. juliette: welcome back to "bloomberg best." i'm juliette saly. in a week when global markets continue to show volatility, conversation on bloomberg television turned to growth and the odds of an impending recession. let's start with imf deputy manager david lipton who shares his insight with bloomberg surveillance. david: we have many risks in the global economy. we wi

kim: the imf comes in and helps countries in trouble and gives them a short-term infusion that is paidhort period of time, and it is cash related to policy changes. we do things like help countries build roads. we provide specific loans for roads. on the private sector side, we give loans to private sector companies working in poor countries. we have another part of the organization that literally invented political risk insurance. there is a much broader range of things that we do at the world bank, but of course we are much smaller than the imf. david: you focus on developing markets. but now the developing markets have so much capital from private equity firms and sovereign wealth funds. is there a real need for the world bank anymore? dr. kim: i don't think they need our capital, but they need our advice, and they certainly need the capital in the form we can provide it. in a middle income country, if we can provide them a 25-30 year loan at 2.5% or 3%, there are not many middle income countries that can go to the capital markets themselves and get a loan. and they will also not ge

>> no, the wto is one organization that hasn't gone the way of the imf, the world bank who should gorth korea and the imf -- [laughter] >> but if terms of wto -- but in terms of wto, because of technology, we need a new system to judge these things, these abuses and bring real penalties more quickly, fine, put it on the table, but in the meantime, you take a chinese bank that's engaged in laundering, we know who they are, and you kick them out what they call the swift system which means they can't operate internationally, that sends a real message. david: got to be the last word on the subject. iconic tech journalist announcing today he's quitting facebook. why he says he will no longer be using that site or any of its platforms. details coming next. the hard work you put into lowering your very high triglycerides with diet and exercise deserves the hard work that went into the science behind vascepa. prescription vascepa. vascepa, along with diet and exercise, has proven results in multiple clinical trials. vascepa looks different because it is different. over a decade of extensive

what is the responsibility you need from nations across the imf ?t spiderman's uncle urged him on with the same words, so it is quite applicable. i think it is on countries to work together to overcome the risk that global economies face to make sure the next downturn is not too severe and to take it manage of the opportunities that come from technology, and to deal with longer-term challenges. findok to all leaders to recognizeies and to that some of the discontent, some of the complaints that people are expressing that lead to the kinds of political development we seen are legitimate concerns about the impact of globalization, the impact of technology on people's lives. to shape work together new solutions, they have to take ordinary people are affected by events of the global economy. tom: david lipton, thank you so much for joining us today, with the international monetary fund their, first deputy managing director. francine, we got so much more to talk about here. the protesters behind us, and the real tension to me is how does theresa may come

the imf is going to die in 60 days.very little vladimir putin can do to keep that treaty alive. liz: russia sees nuclear weapons as a cheaper solution to conventional forces. >> no. increasingly the battlefield is beginning to expand whether it's naval, air or land power. that's have much the case in europe. now that the american military is focused on a peer contact with russia, whether it's a conventional rocket or nuclear weapon, the dynamics of war have grown beyond the treaty. the russians understand it and we understand it. the united states is already beginning to develop rockets that go beyond 300 miles. this is a normal evolution of war and we should not be worried about it. liz: i hate to hit you with this. but china's technology is under fire. b.t. yanked out of the cover its network huawei * equipment. the futures down another 240 points. nearly a 1,000-point drop in three days. investors are poring through the u.s.-china trade negotiations. what is your take on this. >> the chinese have never been street up

i have been talking to the president of imf, lord coe.he very outset has been can we separate the clean athletes from the tainted system? so over 30 russian athletes are competing internationally. they are competing internationally. they are competing as neutrals. the remainder of that journey, which competing as neutrals. the remainder of thatjourney, which will be the reinstatement of the athletics federation, will depend on the full completion of that criteria. the big question, of course, is how long can this go on for? the russians have promised a wider that they will make available the samples in the lab by the end of this year and assemble themselves by the middle of next year —— one. that was good enough for wider but iaaf is less convinced that they will deliver on those assurances. the kenyan marathon runner eliud kipchoge, and jumper caterine ibarguen of colombia won the iaaf men's and women's athletes of the year at a ceremony in monaco on tuesday. kipchoge, who shattered the world marathon record by 78 seconds in berlin earli

japan will have 87 million people, down from today's 126 people, down from today's126 million, and the imfe size of the country's economy by 25% by then. under the new law, the ministry ofjustice estimates up to 345,000 newcomers would arrive during the programme's first five years. there are currently 1.3 million foreign workers they are now. these would cover workers in 14 industries, including construction, agriculture and elderly care. our correspondent told me earlier how much support the move had in japan. amongst the population, a slim majority support it. but that is because it has been framed, as you just said, as not an immigration policy. the government has bent over backwards to actually emphasised, to avoid the migration word. so only by framing it is a sort of guest worker programme has it managed to get through. but there are so many it managed to get through. but there are so many problems, so many details which have not been presented yet. and one of those problems that the opposition has kept emphasising was the reported abuse and even death of some of the foreign trainee

earlier this month the imf warned the ‘storm clouds of the next global financial crisis are gathering. the french government is seeking candidates to replace renault boss carlos ghosn, according to a report by reuters. at a board meeting on thursday, renault directors were briefed on an investigation by their alliance partner nissan, that led to ghosn's arrest and dismissal as chairman for alleged financial conduct last month. he is accused of failing to declare some $113 million in earnings, which he denies. apple has announced a $1 billion plan to build a new campus in austin, texas. it says the 133—acre site will employ 5,000 new workers but will have the capacity to accommodate 15,000 and it expects to become the city's biggest private employer. apple has committed to create 20,000 newjobs in the us by 2023. and now — what's trending in the business news this morning. on business insider: trump is failing to achieve one of the biggest goals of his trade war, and he only has himself to blame. according to economists from goldman sachs, trump's tariffs on chinese goods are actually

you point out in your story about the imf forecasting decent global growth. we haven't seen a lot of reduction in terms of growth estimates. have we? then: the imf is at 3.7%, third year in a row that we have had growth at that strength. the markets lately have been worried about what the federal reserve is going to do. the fed now signaling it might even cause -- pause rate hikes in 2019. there is a level of support from the central banks. hashave seen donald trump led tax cuts in the u.s., but other governments are releasing fiscal stimuli. you have oil price down to $50, so there are lots of areas of support for the world economy going forward. i think if those props can remain in place, the world gets a healthier expansion next year. one, increasingly led by the emerging markets, which had a bit of a rough year this year. they: the fed reminded us are data dependent and they are watching everything closely, but we do feel like we are hearing more people talk about the potential for a recession. but we are not hearing people talk about a global recession f

as someone who spent a lot of time working with the imf -- there is a good one -- the u.n., there is another good one. even nato, this president is right in one respect, for sure. nato -- our european allies need to pay their way. what they have agreed to pay. we should not be required forever to pick up the tab on that. but these institutions make america stronger and we ought not to be running them down. [applause] mr. meacham: mr. president, you first. here is an exam question they would have at rice. assess the validity of this statement, if you would. american politics between 1933 and 2017 can be understood as a kind of figurative conversation between franklin roosevelt and ronald reagan. that the field on which we made most of our domestic and foreign policy decisions was regarding the relative role of the market in the state and the relative use of force between commonly agreed-upon rivals and foes. the moment between your leaving the white house and now, feels like an incoherent part of that story. do you agree that you govern in a world that was basically shaped by those am

what i put in my second book was how the imf and federal reserve missed it.ou go down a whole series of major forecasting. david: everybody got it wrong. the purpose was, i did not find it a surprise. you cannot have a crisis of that nature that is not a surprise. back onhen you look your term as federal reserve chair, would you do any different in light of events that happens after you left? alan: not that i'm aware of. david: when you testify in front of congress, you are well known for not being precise. was that on purpose? alan: yes. it was a general rule at the time that the federal reserve did not make public what it was going to do. we do now, but not back then. ways canion was, what i figure around answering certain questions or not answering them? up a vocabulary that no one could quite understand, or were too ashamed that they do not understand. david: why do you think it is that we are not as creative as we were before in coming up with new companies? alan: there is more to it than the issue of a simple capitalist . we are getting more and more re

one person in the world is bound by the imf treaty, us. china is not bound by it. third to a half of their existing missiles would violate the treaty if they were in it. iran just tests one this weekend. we are enormously concerned about our nato allies in europe. but we have global responsibilities in asia and the middle east. we have to be responsive there, too. gerry: when people look at russia and the policies toward russia. there seems to be a disconnect between the sanctions, the diplomatic axes, your language, secretary mattis and secretary pompeo and the president himself. the president seems to be reluctant to engage in the kind of verbal diplomacy that you do. he seems to have a particular relationship with president putin that seems to be at odds with the policy. >> i think our policy towards russia has been extraordinarily strong. the president values his personal relationships with leaders all over the world. with the sad news of president george h.w. bush's death, i remember being in the state department with jim baker work for him when president bush

. >> the imf is the latest institution to fall through america first program.lowthrough president trump's america's first program. they argue a well-funded imf is a key player in the global safety net such as the loan to argentina. the treasury says it does not support increasing funding. record amountt a last year. more than double the per average capita income. borrowing is led by the u.s., china, and japan, highlighting potential risk to growth. public and private debt is equal to about 220 5% of gdp. 225 percent of gdp. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. let's take a look at aussie markets in the friday morning session. sophie is in hong kong. not much inspiration to be found. sophie: aussie shares are falling for the first session. the aussie dollar is holding onto a three-day gain, staying above 72 ahead of the china's -- chinese data. aussie bonds are steady and there is the idea the rba will be forced to cut. that will cause pressure on the aussie dollar. have the

seek arced macri to record imf credit line.loomberg argentina is in a stronger position than 12 months ago. this is a very competitive situation, no? the best moments of argentina. you can see it is improving. exports are growing. imports are less. >> japan newspapers say tokyo prosecutors plan to the arrest the former chairman and director greg kelly. the rearrest will happen on december 10 on a charge of understating his income. prosecutors think the pay was underreported by $79 million. consumers spending growth slowed last night as concern about brexit tempted households to be cautious. in november.3.3% cold weather kept shoppers out of stores in march. they remain confident their finances --. global news, 24 hours a day on air and on tictoc on twitter. this is bloomberg. the keyg up, we look at shapers for us in 2019. we continue our conversation with the chief economist. >> how low can ago? we speak with the ceo of japanese exchange. this is bloomberg. ♪ looking ahead to 2019, ebs calls a report fading momentum. growth of

thank you for joining us i'm mana imf managing director christine lagarde. >> as we heard lagarde with argue relatively confident tone talking about the reaction maybe being a bit overdone that these things can get, significant work can get done in 90 days if people put their minds to it >> i thought the comments about the fact that the g20 had commentary about reforms for wto, also really interesting is especially since it was sort of lost in the shuffle this week and she mentioned what we've heard from so many other guests this idea that what you're seeing in the markets right now in general is volatility >> yeah, i mean not very alarmed about the growth globally. i think that to me was at the top, she's not shaken by any change in the potential outlook. although saying that the market has become more volatile and that's all it is, is kind of circular i think it's a fair point. not much has changed underlying. >> day is not over powell will make some brief remarks tonight at a housing conference, you can see we're off the session slow lows, which were down 700 points citi down 5.5% w

you point out in your story about the imf still forecasting decent global growth.e haven't seen a lot of reduction in terms of growth estimates, have we? simon: the imf is at 3.7%, the third year in a row that we have had growth of that strength. we have central banks, obviously the markets lately have been worried about what the federal reserve is going to do. the federal reserve now signaling it might even pause rate hikes at some point in 2019, which would keep them where they were historically. there is a level of support from the central banks. you have seen donald trump has led tax cuts in the u.s., but other governments are releasing fiscal stimulus into their economy. you have oil price down to $50, so there are lots of areas of support for the world economy going forward. i think if those props can remain in place, the world gets kind of a healthier expansion next year. one, increasingly led by the emerging markets, which had a bit of a rough year this year. carol: it is interesting. we heard from the fed this week. they reminded us they are data dependent

we have been public about it, we have been public with our allies with our concerns at the imf. in a perfect world what i would say is that it would be best if russia would comply with the inf which would set the conditions for a broader conversation about other arms- control agreement to include the conclusion of start. i will not make this decision i will make recommendations but is very difficult for me to envision progress in extendingá2 for example if the foundation of that is noncompliance with the inf treaty. so i think working their way through the treaty bringing russia back into compliance is in all of our interests. we can begin to have a conversation about mechanisms that can contribute to strategic stability in the 21st century much like it did in the 20th century. technologies have changed, weapons have changed, some things weren't even envisioned when the control arms treaty was put in place. if you don't have a foundation of compliance with yesterday's treaties, it's very difficult to talk about tomorrow. >> is there still time for that discussion about how russi

and creating markets in ukraine, it is an important part of the imf program.ack in november, there was a decision to impose martial law on the country. what impact is that having on the normal functioning of ukraine and the economy? law was implement it in response to the attack, so that we can be prepared if necessary. on the budgetary there was no negative impact. there is a negative impact of but inack itself, general all the actions that were made by the president and the government and the national and wetigated the risks, see the economy continue to grow. we are on track to exit this by the end of the year, and we have adopted the budget to transfer ukraine. thank you so much for joining us, oksana markarova, minister of finance, ukraine, we appreciate your time this morning during what must be a busy. for you. period for you. let's look at how futures are faring. picturel see a mixed with ftse futures down about 0.1%. cac futures up by half. that's go to debra mao in hong kong. debra: fedex slumped in extended trade in the u.s. after lowering its profit

the imf is warning about trade tensions saying the dispute between the u.s.threatened to derail the economy by raising the cost of living. blaming the trade war and threat to emerging markets. >> both parties, u.s. and china could be determined to reach closure on this. it is vitally important. trade is a major engine for growth. trade, if it is damaged, if it is threat and could affect growth. less growth, less jobs, less investments. people like me who are in the business of creating jobs will lose confidence. oil is searching for direction after the opec presidentnt defying trump's call to keep the taps open. of talks bywo days agreeing to remove 1.2 million barrels a day. the vast majority of the reduction will be shouldered by saudi arabia. news, 24 hours a day on air and on tictoc on twitter. powered by more than 2700 journalists and analysts in 120 countries. this is bloomberg. david: let's have a look at the fixed income space in china as we move into 2019. the economy is not helping. when you do the spread between aa over aaa. does that get worse? an

it is difficult for me to have progress is the foundation of that is noncompliance with the imf treaty. i think working our way through the inf treaty out of the what is in all of our interest. we can begin to have a conversation about mechanisms that can contribute to stability in a 21st-century first century, much like the 20th century. conditions have changed, weapons have change, some capabilities were not even envisioned when the current regime was put in place. those are difficult issues. if you do not have a compliance with yesterday's treaties, it is difficult to talk about tomorrow. >> is there still time for that discussion about how russia could meet our compliance concerns? the clock is ticking, and this one is about -- this train is about to leave. gen. dunford: secretary pompeo's presentation in brussels, which was very consistent with that discussion that took place at the g20, was designed as one last effort to avoid -- before the russians one last opportunity to become compliant. he said within 60 days we will suspend our compliance if they do not have a compliance. th