Uncertainties might persist amid high risks to financial stability – IMF

Amid the continued tension necessitated by the Russia-Ukraine war and the post-COVID-19 pandemic effect, the International Monetary Fund warned on Sunday that risks to financial stability have increased following the recent sector in the financial industry.

 

Speaking at the China Development Forum in Beijing, IMF Managing Director Kristalina Georgieva said she expected 2023 to be another challenging year.

 

Her position is based on the rate of global growth slowing to below 3.0 per cent due to the war in Ukraine, monetary tightening and scarring from the pandemic.

 

She also stressed the need for vigilance despite the high risks.

 

She said, “Uncertainties are exceptionally high, with the outlook for the global economy likely to remain weak over the medium term. It is clear that risks to financial stability have increased.”