The International Monetary Fund (IMF) has lowered this Thursday the growth forecasts from 143 countries by the effects of the war in Ukrainewhich has an impact on the 86% of world gross domestic productaccording to the director of the entity, Kristalina Georgieva. He announced it on the same day as European Central Bank He acknowledged that the Russian invasion was “seriously undermining business and consumer confidence”.
In a speech prior to the start of the annual spring meeting that the body will hold with the World Bank next week, Georgieva warned that the future of the economy is “extraordinarily uncertainFor the invasion of Russia a Ukraine and the economic sanctions than the main ones global potential are imposing in Moscow, but also for the covid.
“We are experiencing one crisis after another,” said Georgieva, referring to the outbreak of war when the world had not yet emerged from the coronavirus pandemic. Despite the fall in forecasts, the managing director of the international financial institution has assured that most countries will remain in positive territory.
Concern about inflation
In addition to the war in Ukraine and the covid, the economist cited the “danger” in the world economy high inflationwhich «is very high in the developed countries“But even more so in some developing countries,” he said. Georgieva also noted the “growing fragmentation of the world’s economies into two geopolitical blocs: democracies and authoritarian regimes.”
The latest estimates of the IMF predict that inflation will continue to skyrocket for longer than previously anticipated and has warned that there is a growing risk that market expectations for inflation will become a self-fulfilling prophecy and more difficult to control.
The IMF will publish next Tuesday, in the framework of the assembly, the updated and detailed economic projections by regions and countries for 2022, 2023 and 2024.