Overshadowed by high inflation and the consequences of the Russian war against Ukraine, the International Monetary Fund (IMF) and the World Bank begin their annual spring meetings.
Central issues in the consultations beginning today in Washington are likely to be combating high consumer prices, the development of the global economy, the reform plans at the World Bank, the turbulence in the banking sector, the consequences of climate change and the risk of a debt crisis.
Growth prospects “historically weak”
Tomorrow the IMF will present its new forecast for the development of the global economy. IMF chief Kristalina Georgieva warned last week that the global growth prospects are likely to be below 3.0 percent as a result of the war in Ukraine and high inflation. In January, the IMF had already forecast global growth of just 2.9 percent for 2023 and 3.1 percent for the coming year. Georgieva now emphasized that growth is likely to be “historically weak” in the coming years.
Round table on Ukraine
The finance ministers and heads of the central banks of the 20 most important industrialized and emerging countries (G-20) will meet on Wednesday. A round table on Ukraine is also on the agenda of the spring conference. The Ukrainian President Volodymyr Zelenskyj is also expected to be involved. The IMF has just approved a billion-euro loan program for Ukraine, which is being attacked by Russia. He specifically changed his rules to allow such programs for countries facing “extraordinarily high levels of uncertainty”.
