WASHINGTON (Pakistan Point News / Sputnik - 04th February, 2022) High inflation, weak demand and the coronavirus pandemic are the three major obstacles for the global economy this year, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said on Friday.
"First, COVID-19 is still with us. Second, inflation has become a bigger economic and social concern in quite a number of countries, Three, demand is bad enough," Georgieva said during a virtual conversation on the problems the global economy is facing in 2022.
Georgieva pointed out that the economy is revealing a "mixed bag" of indicators at the beginning of the year.
However, Georgieva warned that as the economic recovery continues, the momentum to speed up the process appears to have been lost.� Consequently, the IMF had to downgrade its projections for global growth, she said.
Georgieva also said every country is now facing specific conditions on the road to economic recovery to which they must tailor their policies.
"In other words, (they are facing an) asymmetry in problems and in the ability to tackle these problems," Georgieva added.
In January, the IMF has revised downward its earlier forecast for global GDP growth in 2022 from 4.9% to 4.4% due to economic and social disruptions caused by the draconian coronavirus pandemic measures.
