The World Bank is worried that new adverse shocks could push the global economy into recession this year, with small countries being particularly vulnerable, Bloomberg reports.
The warning is included in the biannual Global Economic Prospects report, which is to be published on Tuesday. Even in the absence of another crisis, global economic growth this year is expected to slow down significantly, reflecting the tightening of the monetary policy to counter high inflation, the worsening financial conditions and the continued disruption caused by Russia’s invasion of Ukraine, the report shows.
And the managing director of the International Monetary Fund, Kristalina Georgieva, started the year 2023 by warning that the world would face a more difficult year than the previous one. One third of the world economy will be in recession because the US, the EU and China are slowing down simultaneously, the head of the IMF estimated.
Radio Romania International