IMF warns Russia-Ukraine war will slow economic growth, increase inflation
The International Monetary Fund (IMF) has said that global economic growth has been severely impacted by the war between Russia and Ukraine. The IMF noted that the global economy has not fully recovered from the COVID-19 pandemic and some countries were facing inflation even before the war. The IMF, in a blog, stated that in comparison to the January forecast, the projection for global growth has been revised downwards to 3.6 % in both 2022 and 2023, which indicates the direct impact of the war on Ukraine and sanctions on Ukraine, “with both countries projected to experience steep contractions.” The IMF has warned that the war will slow the growth of the economy and increase inflation.
According to the IMF, the growth outlook for the European Union has been revised downward by 1.1 percentage points due to the indirect effects of the war and the economic risks have witnessed a sharp increase and policy tradeoffs have become more…
