The managing director of the International Monetary Fund (IMF) Kristalina Georgieva said that a global recession is not expected, but “this does not mean that it is completely ruled out,” the Associated Press reported.
Speaking at the annual meeting of the World Economic Forum, Georgieva reminded the audience that the IMF forecasts growth of 3.6% for 2022, which is “far from a global recession.” Most of the 100 or so people in attendance raised their hands. According to Georgieva, the prospects for the world are “a bit like the weather here in Davos – the horizon is getting darker.” She said that a difficult year is ahead and one of the big problems is the rise in food prices, partly caused by the war in Ukraine.
Georgieva also pointed to a number of other challenges, including rising interest rates, inflation, the rising dollar, the slowdown in China, the climate crisis and the recent “difficult period” for cryptocurrencies.
Other speakers at the panel discussed whether Europe would fall into recession after the European Central Bank signaled it would start tightening monetary policy.
–
