IMF cuts global growth forecast for 2022 to 4.4%(2)

Among the major economies, the US economy is expected to grow by 4% and 2.6% respectively this year and next; the euro zone economy will grow by 3.9% and 2.5% respectively; the Chinese economy will grow by 4.8% and 5.2% respectively.

The IMF believes that global economic growth faces downside risks. Higher interest rates in advanced economies will expose emerging market and developing economies to risks in terms of capital flows, monetary and fiscal positions, and debt. In addition, escalating geopolitical tensions will lead to other global risks, while increased climate change means a higher chance of severe natural disasters.

The IMF pointed out that as the epidemic continues to rage, anti-epidemic items such as the new crown vaccine are still crucial, and economies need to strengthen production, improve domestic supply and enhance fairness in international distribution. At the same time, fiscal policies of economies should prioritize public health and social security spending.

IMF First Deputy Managing Director Gita Gopinath said in a blog post on the same day that policymakers in various economies need to closely monitor various economic data, prepare for emergencies, communicate in a timely manner and implement response policies. At the same time, all economies should carry out effective international cooperation to ensure that the world can get rid of the epidemic this year.