The International Monetary Fund (IMF) has warned that disruptions in the global supply of goods are causing prices to rise and hampering economic growth after the Covid-19 crisis.
In a recent report on the global economy, the International Monetary Fund (IMF) said the ongoing economic impact of the coronary epidemic and the unequal distribution of vaccines were further widening the economic gap between countries and undermining development prospects. developing economies.
Tobias Adrian is a financial advisor and director in the finance and capital markets department at the International Monetary Fund.
"First and foremost, debt has increased. As countries battled the coronavirus epidemic, reduced monetary policy, increased spending and as a result, debt increased for the government and in some countries, the debt increased even in families," Tobias said.
The statistics do not provide a complete picture of the situation in some countries
The report says the world economy is expected to grow at 5.9 percent this year, a slightly lower rate compared to July. Next year by 2022 the rate of global economic growth will decrease to 4.9 percent.
The chief financial officer of the International Monetary Fund Gita Gopinath says these figures but do not give a complete picture of how bad the situation is in some countries including the United States, Germany, and Japan which are most affected by the disruption of the supply chain.
The report claims that demand for goods is high at the moment although supply is the whole problem because many workers have not yet returned to work due to the spread of the Delta virus. This shortage of workers is a factor that puts pressure on the world's major economies and lowers their prospects for economic growth in those countries this year.
Economic growth will not be in developing countries
The economy was expected to grow normally as it was before the coronavirus epidemic in 2022 and by 2024 will have surpassed that growth rate by 0.9 percent.
But in developing countries growth is expected to remain 5.5 percent less than the growth rate in those countries before 2024.
US economic growth, which is the world's largest economy, will slow down by six percent this year according to the IMF. According to Gopinath, inflation is expected to return to normal by next year by 2022 in most countries except the United States, which could take longer.
