High inflation, the Russian war of aggression in Ukraine and the consequences of the corona pandemic are weighing heavily on the global economy. The International Monetary Fund (IMF) lowered its global growth forecast for the coming year to 2.7 percent on Tuesday.
This means that the forecast growth is 0.2 percentage points lower than assumed in the summer, as the latest IMF forecast shows. In the euro area, the gross domestic product (GDP) is expected to grow by only 0.5 percent in the coming year – a significant downgrade compared to the previous forecast.
“In short, the worst is yet to come, and for many people 2023 will feel like a recession,” said IMF Chief Economist Pierre-Olivier Gourinchas in the report’s foreword Keep your hands.” The IMF emphasizes that the forecasts are extremely uncertain. The future development of the global economy depends crucially on monetary policy, the course of the war in Ukraine and possible other disruptions caused by the pandemic – for example in China.
