World propping for gloomy economic news as IMF readies forecasts

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International Monetary Fund (IMF) says that 86 percent of the global economy was likely to slow down in the imminent future.

A group of 143 countries representing 86 percent of the global economy is expected to hear from the IMF on Tuesday.

The IMF was due to broadcast its latest world economic outlook at 9 a.m. (1300 GMT) on Tuesday, and director Kristalina Georgieva had already notified that the news was likely to be gloomy.

The Russian invasion of Ukraine, which has resulted in disruption of exports from both commodity-rich countries, coupled with the Western sanctions pressed on Russia in response, both play a part in the expected slowdown.

But the world had already been facing economic headwinds before the invasion, in the form of growing inflation rates, tougher conditions on global financial markets, and the far-reaching impacts of China’s current tough pandemic lockdowns.

Already in January, the IMF had eased its global economic forecast for 2022 by half a percentage point, to 4.4 percent.

The new forecast will come during the IMF’s spring meeting in Washington, which will see a global conference of finance ministers and central bankers.

Due to lagging concerns about the pandemic, some parts of the meeting would be conducted online.