Global economic outlook exceptionally uncertain – IMF Chief

IMF Managing Director Kristalina Georgieva addresses the G20 Finance Ministers Meeting in Nusa Dua on the Indonesian resort island of Bali, July 15, 2022/CFP

International Monetary Fund (IMF) Managing Director Kristalina Georgieva on Saturday warned officials from the Group of 20 major economies to take urgent action to combat inflation, warning that the “exceptionally uncertain” global economic outlook could turn worse if higher prices persisted.

Georgieva, speaking at a G20 finance officials meeting in Indonesia, said the conflict in Ukraine was exerting added pressures on commodity and food prices and global financial conditions were tightening more than expected.

At the same time, pandemic-related disruptions and renewed supply chain bottlenecks continued to weigh on economic activity. 

Pressure was mounting on heavily-indebted countries, and the debt situation was “deteriorating fast,” she said, according to a text of her remarks.