China News Agency, Washington, April 19 (Reporter Sha Hanting) The International Monetary Fund (IMF) released the latest "World Economic Outlook Report" on the 19th local time. It is expected that the global economy will grow by 3.6% in 2022, compared with January. The forecast was lowered by 0.8 percentage points.
The IMF said that due to the conflict between Russia and Ukraine, the IMF significantly lowered its forecast for global economic growth in 2022 to 3.6%.
The IMF expects the global economy to grow by 3.6% in 2023, down 0.2 percentage points from its previous forecast.
Specifically, advanced economies are expected to grow by 3.3% in 2022, down 0.6 percentage points from the previous forecast; in 2023, they are expected to grow by 2.4%, down 0.2 percentage points from the previous forecast.
Emerging market and developing economies are expected to grow by 3.8% in 2022, down 1 percentage point from the previous forecast, and 4.4% in 2023, down 0.3 percentage point from the previous forecast.
Among the major economies, the US economy is expected to grow by 3.7% and 2.3% respectively this year and next; the euro zone economy will grow by 2.8% and 2.3% respectively; the Chinese economy will grow by 4.4% and 5.1% respectively.
The IMF said in its report that global economic growth will slow significantly in 2022 due to the humanitarian crisis triggered by the conflict between Russia and Ukraine and Western sanctions against Russia.
The Russian-Ukrainian conflict has global spillover effects through commodity markets, trade and financial channels, which will increase inflation while weakening economic growth.
In response to high inflation, many economies around the world raised interest rates, leading investors to reduce risk appetite and tightening global financial conditions.
In addition, shortages of new crown vaccines in low-income countries may lead to new outbreaks.
The IMF stressed that in the current situation, global cooperation is crucial.
Multilateral efforts should be made to address humanitarian crises, prevent further economic fragmentation, maintain global liquidity, manage debt crises, tackle climate change, fight the COVID-19 pandemic, and more.
In addition, governments should make full use of positive structural reforms as much as possible to promote digital transformation and green energy transformation to prepare for long-term economic development.