Connect with us

Coronavirus (Covid-19)

Global recovery unlikely to happen next year – IMF

Jack Burton

Published

 on 

PHOTO: Kristalina Georgieva - Getty Images

The head of the International Monetary Fund says the global economy is going to take longer than initially thought to recover fully from the shock caused by the Covid-19 coronavirus. She’s also warning against the danger of protectionism. Kristalina Georgieva says the Fund is likely to revise its forecast for a 3% contraction in GDP in 2020 downward, but gave no details. Such a revision would likely trigger changes in the Fund’s forecast of a partial recovery of 5.8% in 2021. In a Reuters interview, she said data from around the world was “worse than expected.”

“Obviously that means it will take us much longer to have a full recovery from this crisis.”

She gave no specific target date for a rebound. In April, the global lender forecast that business closures and lockdowns to slow the spread of the virus would throw the world into the deepest recession since the Great Depression of the 1930s. But data reported since then points to “more bad news.”

The IMF is expected to release new global projections in June. The global outlook remains a major focus for finance ministers from the G7 advanced economies, who will meet remotely today, according to the US Treasury.

Georgieva says the Fund is focused on risks like high debt levels, increased deficits, unemployment, bankruptcies, increased poverty and inequality during the recovery period. But she says the crisis is boosting the digital economy, offering a chance to increase transparency and e-learning, and give even small firms access to markets.

Georgieva warned against retreating into protectionism as a result of the crisis.

“We should not turn away from what has worked for people everywhere: a division of labor and collaboration and trade, which allows the costs of goods and services to go down, allows incomes to go up, and allows poverty within countries and across countries to retreat.”

SOURCE: The New York Times

 

Get more from The Thaiger

📱 Download our app on Android or iOS
👋 Have your say on our Thailand forums
🔔 Subscribe to our daily email newsletter
📺 Subscribe / Join YouTube for daily shows
👍 Like/Follow us on Facebook
🐦 FOLLOW us on Twitter
📷 FOLLOW us on Instagram

image

Join the conversation and have your say on Thailand news published on The Thaiger.

Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.

Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Jack Burton is an American writer, broadcaster, linguist and journalist who has lived in Asia since 1987. A native of the state of Georgia, he attended the The University of Georgia's Henry Grady School of Journalism, which hands out journalism's prestigious Peabody Awards. His works have appeared in The China Post, The South China Morning Post, The International Herald Tribune and many magazines throughout Asia and the world. He is fluent in Mandarin and has appeared on television and radio for decades in Taiwan, Mainland China, Hong Kong and Macau.

Follow Thaiger by email:

Best of2 hours ago

Phuket’s 5 most family-friendly resorts

Transport3 hours ago

Transport Company announces bus services are suspended until August 31

Thailand5 hours ago

Thailand News Today | 29 provinces now on curfew, booze ban in Phuket

Welcome back to Thailand!

Thaiger is getting behind local businesses for the restart of tourism in Thailand - up to 50% discounts across all advertising packages!

Insurgency5 hours ago

Volunteer ranger killed in grenade attack by suspected insurgents

Best of6 hours ago

Top 5 Spas in Koh Samui

Thailand6 hours ago

Hemp ice cream hits the Thai market

image
Join the conversation on the Thaiger Talk forums today!
Chon Buri6 hours ago

Chon Buri sets local order, restaurants in malls to only offer food for delivery

Thailand6 hours ago

Samut Prakan man dies in fire, possibly self-inflicted

Thailand7 hours ago

Royal Thai Police say bitterleaf can’t cure Covid

Coronavirus (Covid-19)8 hours ago

Tuesday Covid Update: 18,901 new cases, provincial totals

Thailand8 hours ago

Air Asia technician arrested for allegedly stealing electronics

Pattaya8 hours ago

“Pattaya Move On” reopening likely to be postponed as Covid cases surge

Thailand9 hours ago

3 metre long python caught near family’s house in Phuket

Thailand10 hours ago

Government says not to buy Favipiravir/Avigan online, says it might be fake

Phuket10 hours ago

Phuket bans alcohol sales at restaurants, issues order amid rise of Covid cases

Thailand5 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism5 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket5 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism5 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand5 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism5 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand6 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand7 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand7 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand7 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand7 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand7 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand7 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand7 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Thailand7 months ago

Thailand News Today | Southern floods, Face mask fines, Thai Air Asia woes | January 8

Trending