IMF’s fiscal chief says U.S. CPI data shows need to maintain inflation fight

WASHINGTON (Reuters) – The U.S. Consumer Price Index data for March shows persistent above-target inflation pressures, “validating” the International Monetary Fund’s emphasis on continuing to fight inflation at IMF and World Bank Spring Meetings this week, IMF Fiscal Affairs Director Vitor Gaspar said.

Gaspar told a news conference that fiscal tightening could help remove upward pressures on interest rates by helping reduce fiscal demand and added that he saw little chance of a broad sovereign debt crisis in coming years.

(Reporting by David Lawder)