{"id":16031,"date":"2023-01-02T05:10:44","date_gmt":"2023-01-02T05:10:44","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/imf-warns-of-tough-year-ahead-for-world-economy-citing-slowdown-in-us-eu-china-economics-bitcoin-news\/"},"modified":"2023-01-02T05:10:44","modified_gmt":"2023-01-02T05:10:44","slug":"imf-warns-of-tough-year-ahead-for-world-economy-citing-slowdown-in-us-eu-china-economics-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/imf-warns-of-tough-year-ahead-for-world-economy-citing-slowdown-in-us-eu-china-economics-bitcoin-news\/","title":{"rendered":"IMF Warns of Tough Year Ahead for World Economy Citing Slowdown in US, EU, China \u2013 Economics Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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The International Monetary Fund (IMF) has warned that 2023 will be a tougher year for most of the world economy because the U.S., EU, and Chinese economies are all slowing down simultaneously. \u201cWe expect one-third of the world economy to be in recession \u2026 Even countries that are not in recession, it would feel like recession for hundreds of millions of people,\u201d said IMF chief Kristalina Georgieva.<\/strong><\/p>\n

IMF\u2019s 2023 Economic Predictions<\/h2>\n

International Monetary Fund (IMF) Managing Director Kristalina Georgieva shared the IMF\u2019s predictions on the U.S., the EU, China, and the world economy in an interview with CBS, aired Sunday. She detailed:<\/p>\n

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This is what we see in 2023. For most of the world economy, this is going to be a tough year, tougher than the year we leave behind. Why? Because the three big economies, U.S., EU, China, are all slowing down simultaneously.<\/p>\n<\/blockquote>\n

\u201cThe U.S. is most resilient. The U.S. may avoid recession. We see the labor market remaining quite strong. This is, however, a mixed blessing because if the labor market is very strong, the Fed may have to keep interest rates tighter for longer to bring inflation down,\u201d the IMF chief continued.<\/p>\n

\u201cThe EU was very severely hit by the war in Ukraine. Half of the European Union will be in recession next year. China is going to slow down this year further,\u201d she added.<\/p>\n

Moreover, the IMF boss said:<\/p>\n

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Next year will be a tough year for China. And that translates into negative trends globally.<\/p>\n<\/blockquote>\n

\u201cWhen we look at the emerging markets in developing economies, there, the picture is even direr. Why? Because on top of everything else, they get hit by high interest rates and by the appreciation of the dollar. For those economies that have high level of that, this is a devastation,\u201d she cautioned.<\/p>\n

Regarding China specifically, Georgieva described: \u201cIn the short term, bad news. China has slowed down dramatically in 2022 because of this tight zero Covid policy. For the first time in 40 years, China\u2019s growth in 2022 is likely to be at or below global growth. That has never happened before.\u201d<\/p>\n

Emphasizing that she hopes the U.S. economy \u201cis not going to slip into recession despite all these risks,\u201d the IMF managing director shared:<\/p>\n

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We expect one third of the world economy to be in recession \u2026 Even countries that are not in recession, it would feel like recession for hundreds of millions of people.<\/p>\n<\/blockquote>\n

Georgieva added that \u201cthe world has changed dramatically,\u201d noting that \u201cit is a more shock-prone world.\u201d She explained that these shocks include Covid, the Russia-Ukraine war, and the cost of living crisis.<\/p>\n

\u201cMy message [is] don\u2019t think that we are going to go back to pre-Covid predictability. More uncertainty, more overlap of crises wait for us \u2026 We have to buckle up and act in that more agile, precautionary manner,\u201d she concluded.<\/p>\n

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China<\/a>, China Covid policy<\/a>, Chinese Economy<\/a>, EU economies<\/a>, IMF<\/a>, IMF china<\/a>, IMF EU<\/a>, IMF predictions<\/a>, IMF US<\/a>, US economy<\/a>, us recession<\/a>, world economy<\/a>, world recession<\/a><\/div>\n<\/div>\n

What do you think about the predictions by the International Monetary Fund? Let us know in the comments section below.<\/strong><\/em><\/p>\n

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\nKevin Helms <\/h6>\n

\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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