IMF cuts forecast for global GDP growth in 2022 to 3.6 percent
The World Bank and the International Monetary Fund (IMF) gave pessimistic estimates of global economic growth prospects. The world economy as a whole will slow down almost twice to 3.6 percent in 2022 and 2023. The figure was 6.1 percent in 2021.
Due to Russia’s special military operation in Ukraine, the World Bank estimates that food prices could surge by 37 percent, putting millions of people at risk of survival.
In addition, according to the IMF, «inflation will remain elevated for much longer» than it was expected in the Fund’s previous forecasts.
In advanced economies, for example, it will be 5.7 percent this year and 2.5 percent next year, according to the current forecast. It will be 8.7 percent in 2022 and 6.5 percent in 2023 in emerging and developing economies.
In 2022, the world’s most vulnerable economies must pay off about $35 billion in debt. As such, the IMF and the World Bank will play a central role in the global economy. At the same time, large international investments are largely independent of cooperation with them.
