RFE
08 Oct 2019, 23:45 GMT+10
The new chief of the International Monetary Fund (IMF) says trade wars are threatening to undermine the global economy, likely bringing on the slowest growth in nearly a decade.
Kristalina Georgieva, a Bulgarian economist, said on October 8 in her first speech as IMF managing director that 'in 2019, we expect slower growth in nearly 90 percent of the world."
"The global economy is now in a synchronized slowdown.'
'This widespread deceleration means that growth this year will fall to its lowest rate since the beginning of the decade,' she added.
Georgieva blamed much of the slowdown on the rising number of trade conflicts around the world. The disputes could mean a loss of some $700 billion in output by the end of 2020 -- about 0.8 percent of world gross domestic product.
U.S. President Donald Trump has taken a hard line on trade issues and has become involved in several tit-for-tat tariff moves -- the most substantial of which is with China.
Experts have previously expressed fears that the trade wars could lead to a slowing of the global economy, causing uncertainty in world stock markets.
Georgieva's comments come a week ahead of the planned release of the global lender's updated World Economic Outlook, set for October 15.
The Bulgarian took over leadership of the 189-nation IMF this month following the resignation of Christine Lagarde, who was named chief of the European Central Bank.
The IMF is considered the world's lender of last resort for governments and usually sets tough conditions in return for its aid packages.
Based on reporting by AP and AFP
Copyright (c) 2018. RFE/RL, Inc. Republished with the permission of Radio Free Europe/Radio Liberty, 1201 Connecticut Ave NW, Ste 400, Washington DC 20036
Get a daily dose of Caribbean Herald news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Caribbean Herald.
More InformationNEW YORK, New York - Global stock indices closed with divergent performances on Tuesday, as investors weighed corporate earnings, central...
TORONTO, Canada: Canadian Prime Minister Mark Carney announced late on June 29 that trade negotiations with the U.S. have recommenced...
Vancouver, Canada: A high-stakes legal showdown is brewing in the world of athleisure. Lululemon, the Canadian brand known for its...
LONDON, U.K.: British oil giant Shell has denied reports that it is in talks to acquire rival oil company BP. The Wall Street Journal...
NEW YORK, New York - U.S. stock markets closed firmly in positive territory to start the week Monday, with the S&P 500 and Dow Jones...
WASHINGTON, D.C.: On Friday, President Donald Trump announced that he was halting trade discussions with Canada due to its decision...
Accra (Ghana) [India], July 2 (ANI): Prime Minister Narendra Modi's upcoming visit to Ghana will be the first by an Indian Prime Minister...
Hyderabad (Telangana) [India], July 1 (ANI): NMDC, India's largest iron ore producer, marked a significant milestone with the inauguration...
New Delhi [India], July 1 (ANI): The last two spots for the quarterfinals of the FIFA Club World Cup will be sealed by either Spanish...
The incident took place during a US operation against the powerful criminal organization, the Department of Justice has revealed ...
The incident took place during a US operation against the powerful criminal organization, the Department of Justice has revealed ...
Georgetown [Guyana], July 1 (ANI): As Guyana President Irfaan Ali commissioned Phase I of the Ogle to Eccles portion of the East Coast-East...