The IMF is preparing to lower its growth forecasts for the global economy this year and next amid rising inflation and commodity price shocks driven by Russia’s invasion of Ukraine.
“Recent indicators imply a weak second quarter — and we will be projecting a further downgrade to global growth for both 2022 and 2023 in our World Economic Outlook Update later this month,” said Kristalina Georgieva, managing director of the IMF, in a blog post published on Wednesday.
In April, the IMF predicted global growth of 3.6 per cent for this year and next — downgraded from the January estimates of 4.4 per cent and 3.8 per cent respectively — and warned of potential downside risks.
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