The International Monetary Fund plans to cut its global growth forecast for this year due to a combination of factors including the war in Ukraine, rising inflation and a slowdown in the Chinese economy.
"We can reasonably expect that the growth forecast for 2022 will be lowered compared to what we forecast in April," said IMF spokesman Gerry Rice. The International Monetary Fund previously lowered its global growth forecast to 3.6 percent.
He added, "The war in Ukraine continues... Commodity prices are still very volatile and energy prices, especially food prices, are very high. The Chinese economy has slowed down... It seems more dangerous than expected."
He pointed to the continued acceleration of inflation, "especially in a number of advanced economies, which leads to tightening of monetary policy." Jerry Rice considered that what is happening in the end is the "proliferation of crises" that affect growth.
For its part, the World Bank announced that it is now betting on the growth of global gross domestic product by 2.9 percent, compared to 4.1 percent in January (January). The World Bank highlighted the risks of stagflation, "with a prolonged period of weak growth and high inflation".
Source (Al Arabiya.net Website, Edited)
