Kristalina Georgieva addresses the people in G20 meeting that is taking place in Bengaluru. She says that the world is likely to avoid a recession in 2023 and gives the reason that the resilience of labour markets and a mild winter in Europe has helped countries in avoiding a recession. The rising prices, Inflation, high food prices, and climate changes will cause problems due to slow growth rates in many countries. Some banks are following monetary policies. This fact here indicates the global inflation going on in many countries.
Being apprehensive, Georgieva strongly believes that the World Economy is facing difficulties and pressure due to growth decreasing slowly. The authorities firmly assert that fostering resilience at all levels with an increase of 8.8% in 2022 and the funds that global consumer prices will bring hikes that would get down to 6.6% in 2023 and 0.1 % points high than October. Even in 2024, it further will slow down to 4.3% and around 84% of the countries will witness inflation in the anticipated rates to go low in 2023.
Georgieva said that “Inflation is witnessed finally trimming down in quite some countries. The chance of finally getting on top of the problem of the cost of living is a major disrupter for millions and millions of people, there is a ray of light at the end of this tunnel.” Even IMF is increasing its forecast for global economic growth and has strong US consumer spending and China’s constant support demand is there.
There is much focus on overcoming Europe being dependent on Russian Oil and Gas to avoid recession. China is bringing ways to grow more and India should start working on introducing structural reforms as the entire world is positive about India. But people are against ModiJi and foreign powers. Therefore, to make India a strong nation, the digital revolution is important, and the slogan Atmanirbhar Bharat will lift the course.
Why India is a bright spot? So here it is because the country has performed well and has been moving well when it comes to overcoming the impacts of the pandemic and thus creating new job opportunities. The IMF chief discussed the global economy’s prognosis for 2023 and noted that while it will be resilient, 2023 will be a little challenging.
Therefore, the G20 had made it quite evident that the commitment here is going to overcome gaps ad benefit debt-burdened countries. Stress lies in the fact that political agreement helps overcome disparities that are giving importance to a political agreement and giving overcoming financial architecture.
“The war in Ukraine is a great source of uncertainty. It is very uncertain how the war will evolve and this can make energy markets anxious. We hope for peace and calm and a stop to the war,” she said.
During his speech at the G20, PM Modi also said that financial stability is a serious threat and there has been a decline in confidence in International financial institutions and global concerns.