{"id":1675633,"date":"2022-10-06T10:07:44","date_gmt":"2022-10-06T14:07:44","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1675633"},"modified":"2022-10-06T10:08:26","modified_gmt":"2022-10-06T14:08:26","slug":"imfs-georgieva-sees-darkening-outlook-for-global-economy-rising-recession-risks","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/imfs-georgieva-sees-darkening-outlook-for-global-economy-rising-recession-risks\/","title":{"rendered":"IMF\u2019s Georgieva sees \u2018darkening\u2019 outlook for global economy, rising recession risks"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fimfs-georgieva-sees-darkening-outlook-for-global-economy-rising-recession-risks%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1675633&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>By Andrea Shalal<\/p>\n<p>WASHINGTON (Reuters) \u2013     The International Monetary Fund will next week downgrade its forecast for 2.9% global growth in 2023, Managing Director Kristalina Georgieva said on Thursday, citing rising risks of recession and financial instability.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\">\n<\/div>\n<p>Georgieva said the outlook for the global economy was darkening given the shocks caused by the COVID-19 pandemic, Russia\u2019s invasion of Ukraine and climate disasters on all continents, and it could well get worse.<\/p>\n<p>\u201cWe are experiencing a fundamental shift in the global economy, from a world of relative predictability \u2026 to a world with more fragility \u2013 greater uncertainty, higher economic volatility, geopolitical confrontations, and more frequent and devastating natural disasters,\u201d she said in the text of a speech at Georgetown University.<\/p>\n<p>Georgieva said the old order, characterized by low interest rates and low inflation, was giving way to one in which \u201cany country can be thrown off course more easily and more often.\u201d<\/p>\n<p>She said all of the world\u2019s largest economies \u2013 Europe, China and the United States \u2013 were now slowing down, which was dampening demand for exports from emerging and developing countries, already hit hard by high food and energy prices.<\/p>\n<p>The IMF would lower its 2023 growth forecast from 2.9%, its fourth downward revision this year, when it releases its World Economic Outlook next week, Georgieva said. The global lender would leave its current forecast for 3.2% growth in 2022 unchanged, she said, and gave no number for the new 2023 forecast.<\/p>\n<p>The war in Ukraine and global economic risks will dominate next week\u2019s annual meetings of the IMF and the World Bank in Washington, which bring together finance ministers and central bankers from around the world.<\/p>\n<p>The IMF estimates that countries accounting for about one-third of the world economy would see at least two consecutive quarters of contraction this year or next, Georgieva said.<\/p>\n<p>\u201cAnd, even when growth is positive, it will feel like a recession because of shrinking real incomes and rising prices,\u201d she said. <\/p>\n<p>Overall, the IMF expects global output to shrink by $4 trillion between now and 2026. That is roughly the size of the German economy and amounts to a \u201cmassive setback,\u201d she added.<\/p>\n<p>Uncertainty remained high and more economic shocks were possible, she said, warning that high debt levels and liquidity concerns could amplify the rapid and disorderly repricing of assets on financial markets.<\/p>\n<p>Georgieva said inflation remained stubbornly high, but central banks should continue to respond decisively, even if the economy slowed down.<\/p>\n<p>Fiscal measures adopted in response to high energy prices should be targeted and temporary, she said.<\/p>\n<p>\u201cIn other words, while monetary policy is hitting the brakes, you shouldn\u2019t have a fiscal policy that is stepping on the accelerator. This would make for a very rough and dangerous ride.\u201d<\/p>\n<p>Georgieva urged greater support for emerging markets and developing countries, noting that high interest rates in advanced economies and the strong dollar had triggered capital outflows. The probability of portfolio outflows had risen to 40%.<\/p>\n<p>She also called on China and private creditors \u2013 who hold the lion\u2019s share of global debt \u2013 to address the risk of a widening debt crisis in emerging markets.<\/p>\n<p> (Reporting by Andrea Shalal; editing by Richard Pullin)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/imfs-georgieva-sees-darkening\/attachment\/g20-finance-ministers-central-bankers-and-senior-officials-meet-in-2\/\"><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/10\/tagreuters.com2022binary_LYNXMPEI950P4-BASEIMAGE.jpg\" alt=\"tagreuters.com2022binary_LYNXMPEI950P4-BASEIMAGE\" \/><\/a><\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/imfs-georgieva-sees-darkening\/attachment\/a-man-gets-a-swab-at-a-nucleic-acid-testing\/\"><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/10\/tagreuters.com2022binary_LYNXMPEI950P6-BASEIMAGE.jpg\" alt=\"tagreuters.com2022binary_LYNXMPEI950P6-BASEIMAGE\" \/><\/a><\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/imfs-georgieva-sees-darkening\/attachment\/residential-building-heavily-damaged-by-russian-missile-strike-in-zaporizhzhia\/\"><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/10\/tagreuters.com2022binary_LYNXMPEI950P8-BASEIMAGE.jpg\" alt=\"tagreuters.com2022binary_LYNXMPEI950P8-BASEIMAGE\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Andrea Shalal WASHINGTON (Reuters) \u2013 The International Monetary Fund will next week downgrade its forecast for 2.9% global growth in 2023, Managing Director Kristalina Georgieva said on Thursday, citing<\/p>\n","protected":false},"author":66,"featured_media":1889526,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1675633","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_finder_url":"https:\/\/www.oann.com\/business\/imfs-georgieva-sees-darkening\/?utm_source=rss&utm_medium=rss&utm_campaign=imfs-georgieva-sees-darkening","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1675633","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1675633"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1675633\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1889526"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1675633"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1675633"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1675633"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}