A global recession is not in sight, International Monetary Fund (IMF) chief Kristalina Georgieva has told the World Economic Forum's annual meeting in Davos.
The 3.6% global economic growth forecast issued by the IMF - 0.8% less than forecast in January - was far from being a recession, Georgieva said, adding: "What we could see is a recession in some countries that are weak to begin with." This applied, she said, to states that had not yet recovered from the pandemic and which were highly dependent on energy and food imports from Russia.
Georgieva stressed that, overall, 2022 would be a "tough year" due to multiple crises.
In a video statement posted on Twitter at the beginning of the meeting, Georgieva warned that the situation was very challenging: the war in Ukraine and the pandemic had major economic consequences and led to lower growth and rising inflation.
According to the IMF forecast, the global economy is set to grow much more slowly this year due to the war in Ukraine. At the same time, the IMF expects higher inflation in 2022, driven by energy and food prices.
