IMF chief Kristalina Georgieva says global recession not expected

The Managing Director of the International Monetary Fund says that a global recession is out of the question, but “this does not mean that it is not.”

Speaking Monday at the annual meeting of the World Economic Forum, Kristalina Georgieva reminded the audience that the International Monetary Fund expects 3.6% growth for 2022, which is “a long road to a global recession.”

A moderator opened a discussion about the global economy by asking the audience if they think there is a chance of a recession. Most of the roughly 100 protesters raised their hands.

Georgieva says the worldview was “a bit like the weather here in Davos – it just darkened the horizon.”

She says it will be a “difficult year” and that one of the biggest problems is rising food prices, fueled in part by the Russo-Ukrainian war.

Georgieva listed a host of other challenges, including rising interest rates, inflation, a strengthening dollar, a slowdown in China, the climate crisis, and a recent crypto “hard spot.”

Other speakers in the session discussed whether Europe will fall into recession after the European Central Bank indicated that it would begin to tighten monetary policy.

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