Christine Lagarde, managing director of the International Monetary Fund (IMF), gestures as she speaks during a panel session at the Hofburg Palace in Vienna, Austria, on June 17, 2016.
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June 23, 2016 9:38 AM EDT

The International Monetary Fund (IMF) told the United States that tackling poverty should be an “urgent” priority to ensure the country’s wellbeing in the fund’s annual review of the U.S economy.

The report released Wednesday cited statistics showing that 1 in 7 Americans live in poverty, including 20% of children. The IMF recommended a higher minimum wage and a larger earned income tax credit.

“The share of population living in poverty is at a very high level,” said Christine Lagarde, IMF managing director in remarks at a press conference. “Not only does poverty create significant social strains, it also eats into labor force participation, and undermines the ability to invest in education, to invest in health, to invest in training.”

The report concluded that the U.S. economy is “overall, in good shape” with job growth and low unemployment.

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