A large global contraction in the first half of 2020 is inevitable says IMF MD

Global contraction of coronavirus in the first of 2020 is inevitable as the pandemic struck the global economy in an already fragile state, weighed down by trade disputes, policy uncertainty and geopolitical tensions, the IMF said on Friday.

Addressing the Development Committee Meeting during the annual Spring Meeting of the International Monetary Fund and the World Bank, IMF Managing Director Kristalina Georgieva said a severe economic impact in the first half of 2020 is inevitable and the pandemic encounters weak public health systems.

The global coronavirus outbreak is a crisis that is like no other and poses daunting challenges for policymakers in many emerging market and developing economies (EMDEs), especially where the pandemic encounters weak public health systems, capacity constraints, and limited policy space to mitigate the outbreak's repercussions, Georgieva said.

She said the medium termed projections are clouded by uncertainities