Worst is yet to come, 2023 will be recession year: IMF

 The International Monetary Fund has shown the possibility that the pace of global economic growth will remain slow in the next year 2023 due to the increase in food and energy prices due to the Ukraine war.

According to the AFP news agency, International Monetary Fund (IMF) Economic Counselor Pichy Olivier, referring to the rising inflation due to the Corona virus and the Ukraine war, said that this year or next year, more than a third of the world economy The segment may suffer from economic contraction.

He warned that the world's three largest economies, the United States, the European Union, and China, will continue to hinder economic growth.

"The worst is yet to come and 2023 will be a recession year for the majority," says the IMF's chief adviser.

According to him, the shock caused to the world economy due to the Ukraine war will once again open the economic wounds that had just started to heal after the global pandemic.

It should be noted that the IMF in its report has predicted a 0.2 point reduction in the growth rate of global gross domestic product to 2.7 percent in 2023.

The IMF has said that the growth rate is at its weakest level since 2001 despite the global economic crisis and the corona virus epidemic.

This is the reason why the gross domestic product of the world's major economies, including the United States, has shrunk in the first six months of 2022, while China is facing a crisis in the property sector due to the continuous lockdown.

Economic Councilor Pekhi Olivier says that the global economy can avoid the risk of recession, but economic growth is likely to slow down by two percent.

There have been only five recessions since 1970, the 1973 oil shock, the 1981 inflation, and the 2008 financial crisis. These are all major reasons that affected the global economy.