IMF Says Global Economic Outlook Worst Since 1990s

I could have told you this.

I mean. Come on. What are we talking about here?

The whole scene is in free fall, primarily as a result of the coronavirus hoax, and then severely compounded by the lunatic Western response to an otherwise benign border skirmish in the former USSR.

RT:

The world economy is facing its weakest period of growth since the 1990s in the next five years due to problems triggered by the pandemic and political tensions, International Monetary Fund (IMF) Managing Director Kristalina Georgieva stated on Thursday.

A severe slowdown in the global economy last year following the Covid-19 pandemic and the conflict in Ukraine is set to continue in 2023 and could persist for the next five years, she warned.

Global GDP will grow at about 3% over the next half decade compared to an average of 3.8% seen in the past 20 years, representing the worst economic performance in more than three decades. The IMF expects global GDP to expand by less than 3% this year, which is in line with its January projection of 2.9%.

Last year, global growth almost halved following an initial post-pandemic rebound in 2021, sliding from 6.1% to 3.4%, Georgieva said ahead of the IMF World Economic Outlook report, which is due to be released on April 11.

Up to 90% of advanced economies are likely to experience a decline in their growth rate this year, she warned, with activity in the US and the Eurozone hit by higher interest rates.

“With rising geopolitical tensions, with inflation still running high, a robust recovery remains elusive,” Georgieva said. “That harms the prospects of everyone, especially for the most vulnerable people and most vulnerable countries,” she added.

The IMF head warned against economic fragmentation stemming from geopolitical tensions and urged countries to take action to boost global productivity.

According to Georgieva, soaring inflation facing most of the world’s wealthy nations will force central banks to continue interest-rate hikes, adding pressure to the banking industry despite financial uncertainty following recent turmoil with lenders in the US and Switzerland.

No one is actually being forced to do anything. The inflation was a problem, but it is nothing compared to the problems created by interest rate hikes.

If these people actually cared about fixing things, they would choose the lesser of two evils. Inflation is going to keep happening anyway, because governments, particularly the US government, are going to keep doing QE, which cannot possibly be overcome by interest rates.

According to their own numbers, if QE stopped now completely, they would still have to raise rates to 9% to get inflation back down to 2%. If you wanted to overcome the ongoing QE with interest rates, who the hell even knows what number you’d be looking at – 20%? 30%?

This is all just nonsense, and the only possible conclusion is that for whatever reason, the global financial authorities want to drive down economies.

Probably, they think that economic harm will affect their enemies more than it will affect them, given that authoritarian states are accountable to the people, while democracies are not accountable to anyone. The problem is that authoritarian, enemy states have figured out how to manage these problems that the West is creating in a much more efficient way.

It’s whatever, I guess.

It’s obviously all going to be a lot worse than what they are admitting. Everyone should probably be prepared for that.