Head of the IMF looks at approaching depression
The IMF or International Monetary Fund is one of the world’s most recognized financial institutions and is accountable for supplying monetary support to countries around the world. The recent surge of the COVID-19 crisis has brought with it tons of doubt. In a recent interview, the acting head of the IMF spoke on these issues to give her thoughts on the matter.
What is the Current State of the Economy?
Almost every classification of economic indicators has been showing a horrifying fact with many of the numbers being seen for the first time since the original Great Depression. It is hard to forecast what these numbers will look like come the end of the year because right now there have so many things up in the air. One thing is certain you cannot deny that the numbers for several key signals are worrisome.
Unemployment levels across the globe have skyrocketed in the last month with more than 20 million recently unemployed in the United States alone. Many countries across the world either already are or will soon be going through unemployment levels not seen since the 1930s.
At the start of this year, many organizations forecast for the year included balanced if modest GDP growth around the world. Of course, the models had some countries doing better than others but overall widespread good fortune. Today the story is a great deal different. Nearly across the board countries are predicting negative GDP growth.
Latest Industries Affected
There are many industries such as the airline industry that are experiencing as much as 90% or more decrease in their revenues year over year. Some industries are being impacted more than others but the devastation is pretty much-affecting everyone in some way.
Latest Approach to Crisis
Right now the head of the IMF has claimed they are pursuing a cautious approach. It is wise not to disregard the health crisis that is still going around the planet. Their interventions are designed to prevent as much pain as possible and they are paying careful attention so as to not forget the countries that require help the most . Especially those that are having difficulties in the developing world.
More information can be found on the IMF website.