Speaking during a meeting in Marrakech, the International Monetary Fund's managing director said the war between Israel and Hamas was a "new cloud" that was "darkening" the global economic outlook. Kristalina Georgieva said her organisation was monitoring the situation "very closely", although it was too soon to say what specific economic impact the conflict may have.
An ambassador of an African country to China on Thursday criticized the International Monetary Fund and the World Bank for restrictive lending policies. "My sincere belief is that IMF officials, World Bank officials, they are sincere in their belief that their debt sustainability framework works and works for the greater good," said Jang Ping Thia, lead economist and manager of the economics department at the Asian Infrastructure Investment Bank.
Climate shocks are already disproportionately affecting war-torn countries, a report from the IMF has shown. Many also bear the least responsibility for climate change.
Strengthening the New Development Bank (NDB) — or the so-called BRICS Development Bank — is top agenda of the BRICS summit agenda. Could the NDB, backed by the five emerging world economies: Brazil, Russia, China, India and South Africa, replace existing financial institutions, such as the IMF, in lending funds to developing nations?
The agreement should just be viewed as a "stopgap" that gives Pakistan time and some resources needed to pull its economy back from the verge of default, say experts.
The deal would provide much needed relief to Pakistan, which has been on the verge of default. The IMF board has yet to confirm the agreement.
The West African nation has been under financial strain stemming from the rolling impact of the pandemic, the war in Ukraine, and a range of other global economic trends.
Brazilian President Luiz Inacio Lula da Silva has praised the Shanghai-based New Development Bank (NDB) on his trip to China, saying it "frees emerging countries from submission to traditional financial institutions".
The $5.4 billion set for disbursement brings the total lent to the Latin American country under the Extended Fund Facility to $28.9 billion. Argentina is the target of the IMF's largest assistance program.
During its annual Spring Meeting in Washington, the International Monetary Fund has revised its forecasts upward to 7 percent for global inflation this year and 4.9 percent in 2024. Those figures, above the target rate of 2 percent, will be contributing factors in slowing down growth, including for developing economies.
IMF predicts five-year economic dip, with low-income countries hardest hit. We look at why the IMF's predicted economic growth of just 3 percent, the lowest forecast since 1990, could hurt developing nations most.