IMF Chief warns world isn’t ready for shocks that are piling up

Global economies have yet to fully grasp the long-term impact of overlapping crises, according to International Monetary Fund chief Kristalina Georgieva, who recently spoke on a Bloomberg podcast.

The IMF chief warned that recurring global shocks are likely to remain a defining feature of the future, stressing that the world should not expect a return to stability free from disruptions.

Georgieva, who has led the IMF since 2019, pointed to a series of major crises including the Covid-19 pandemic, the war in Ukraine, trade tensions, and conflict in the Middle East, saying objective economic analysis remains the institution’s strongest tool.

She also highlighted concerns over the growing impact of artificial intelligence, cautioning against repeating the inequalities that emerged during globalisation, where some communities suffered job losses without adequate support.

The IMF is set to revise its global economic outlook in July after previously lowering growth forecasts amid geopolitical tensions in the Middle East.

-Bloomberg