According to the IMF, high inflation and a slowdown in growth have led to fears of a recession that has once again created fear in the minds of the people.
New Delhi, Dt
The International Monetary Fund (IMF) on Sunday released a report on rising global crude oil prices and its forecast for growth. Rising oil prices may remind some people of the 1980s, when fuel prices soared due to geopolitical reasons, the IMF said. This has created fear of something like this happening. The times have changed, however, the IMF said. Even the central bank has changed a lot today. It is very independent today and people’s confidence in their monetary policies has increased in this decade. We expect the global growth rate to be close to 7.5 per cent as our recent World Economic Outlook report has already underestimated. However this could go further down and inflation could be higher than expected. The biggest impact of this can be seen in Europe as their dependence on Russia for fuel is much higher. The IMF said in its World Economic Outlook released last month that the war in Ukraine has not only created a humanitarian crisis but is also exacerbating the economic crisis. According to the IMF, the war will see a slowdown in global growth in 205, which will push up inflation. Fuel and food prices have risen sharply, with the worst-hit countries being the hardest hit. Global economic growth is projected to fall from 7.1 per cent in 2021 to 7.5 per cent in 203 and 205 per cent. This is 0.9 per cent and 0.6 per cent lower than the projected growth rate in January, respectively. It is projected to reach 4.5 per cent by 203. According to the report, India will be the fastest growing of all the major emerging economies. India’s GDP growth rate is projected at 7.5 per cent in 203 and 7.5 per cent in 203. The IMF said a concerted effort was needed to address the humanitarian, economic and environmental crisis.
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