This post was originally published on this siteDavid Malpass also said coronavirus lockdowns in China are contributing to a global slowdown.
This post was originally published on this siteThere’s increasing risk that the Fed and other central banks that are implementing anti-inflation policies may adjust too slowly to a complex and fast-changing global landscape.
The World Bank cut its annual global growth forecast for 2022 from 4.1 percent to 3.2 percent on Monday, as record levels of inflation and the Russian invasion of Ukraine continue to impact the world’s economic prospects, CNBC reports.
The single largest factor in the reduced growth forecast was a projected contraction of 4.1 percent across Europe and Central Asia, World Bank President David Malpass told reporters, per Reuters. The region in question comprises both Ukraine and Russia.
Malpass also cited higher food and fuel costs in developed countries — developments both exacerbated in part by Russia’s invasion — as factors in the economic slowdown. Western sanctions on Russian energy imports have “driven up the price of oil and gas worldwide,” while disruptions to Ukraine’s agricultural exports have done the same for food, CNBC writes.
The revised projection, down almost a full percentage point, arrives as global policymakers gather in Washington, D.C. this week for spring meetings of the World Bank and the International Monetary Fund, The New York Times reports.
“We begin this spring meeting facing severe overlapping crisis,” Malpass told reporters, per the Times. “There’s COVID, inflation, and Russia’s invasion of Ukraine.”
Such disruptions are also expected to cause a surge in global poverty rates, Malpass said.
Prior to the war, “analysts had predicted that Ukraine’s GDP would rise sharply in the coming years,” CNBC writes. Now both the Russi and Ukrainian economies are expected to take major hits.
This post was originally published on this site HONG KONG – China’s strong export momentum has waned slightly in the first two months of this year as the global boom in demand for the country’s pandemic weakens, adding to pressure on policymakers to boost growth. Exports in January and February...
This post was originally published on this siteThe attack on Ukraine heaps fresh risks on a global economy struggling with soaring inflation, supply-chain snarls and a rocky recovery from the pandemic.
This post was originally published on this siteThe cost of living is going up at the fastest rate seen in decades as the coronavirus pandemic enters its third year.