IMF President “New Year’s World Economy Will Be More Difficult Than 2022…Simultaneous Slowdown of US, EU and China Economies”

The president of the International Monetary Fund (IMF) Kristalina Georgieva predicted that the global economy in the new year will be more difficult than last year.

Governor Georgieva said yesterday in an interview with “CBS” (1st): “The big three economies, the United States, the European Union (EU) and China, are slowing down at the same time.”

In particular, he mentioned the novel coronavirus situation in China, saying, “For the first time in 40 years, China’s growth rate in 2022 is likely to equal or fall below the global growth rate.”

Georgieva compared the coronavirus infections in China, expected in the coming months, to a “forest fire”.

“The next two months will be a difficult period for China and the impact it will have on China, the region and the world economy will be negative,” he said.

Earlier in November last year, President Georgieva warned of the impact China’s “corona zero” policy would have on the world economy, urging China to ease its massive coronavirus containment policy.

In its October report last year, the IMF lowered its forecast for global economic growth in 2023 to 2.7%, 0.2% lower than in July last year.

VOA news

*This article was taken from Reuters.