As the world battles the coronavirus pandemic, the International Monetary Fund (IMF) has warned that the world should expect global economic recession in the magnitude of the 2008 meltdown.
The Managing Director of Fund, Kristalina Georgieva in a statement to the G20 finance ministers.
She regretted that the human costs of the pandemic were already immeasurable, and therefore demanded combine efforts from the nations of the world to protect people and limit the economic damage.
She stated that investors had demobilised $83 billion from emerging markets since the beginning of the crisis, the largest capital outflow ever.
“I emphasized three points in particular: First, the outlook for global growth for 2020 is negative – a recession at least as bad as during the global financial crisis or worse. But we expect recovery in 2021. To get there, it is paramount to prioritise containment and strengthen health systems – everywhere. The economic impact is and will be severe, but the faster the virus stops, the quicker and stronger the recovery will be,” noted Georgieva