IMF Head discusses approaching economic slump

The IMF or International Monetary Fund is one of the world’s leading financial institutions and is responsible for delivering 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 problems to give her thoughts on the matter.

What is the present State of the overall economy?

Almost every category of economic indicators has been indicating a horrifying truth with many of the numbers being seen for the first time since the original Great Depression. It is hard to foresee 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 indicators are distressing.

Existing Unemployment Levels

Unemployment levels across the globe have increased in the last month with more than 20 million freshly unemployed in the United States alone. Many countries across the world either already are or will soon be experiencing unemployment levels not seen since the 1930s.

GDP Forecasts

At the start of this year, many organizations estimate for the year included balanced if modest GDP growth around the world. Of course, the models had some countries performing better than others but overall widespread success. Today the story is very much different. Nearly across the board countries are forecasting negative GDP growth.

Status the Industries Affected

There are some 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 damage is pretty much-affecting everyone in some way.

Results of Approach to Crisis

Right now the leader of the IMF has said they are pursuing a careful approach. It is wise not to dismiss the health crisis that is still going around the planet. Their interventions are supposed to avoid as much pain as possible and they are paying careful attention so as to not overlook the countries that need help the most . Especially those that are struggling in the developing world.

More information can be found on the IMF website.

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