IMF: Global economy faces period of weak growth

The International Monetary Fund (IMF) believes the global economy faces a period of weak growth, IMF Managing Director Kristalina Georgieva said at the annual EU budget conference in Brussels, Report informs referring to TASS.

The IMF global economic outlook report shows that the economy is returning to a fairly weak growth trend, she noted. The US economy still appears to be moving full steam ahead, but it is unlikely that this will continue for long. In China, prospects for further growth are dimming issues related to the real estate market. In Europe, labor productivity growth is lagging, reflecting significantly less investment in new technologies than in the US, she added.

Problem number one is the already mentioned weak growth, Georgieva explained. In addition, problem number two is the very heavy burden of public debt, she added.

At the same time, Georgieva once again warned about the fragmentation of the global economy, which is intensifying due to the current geopolitical turmoil.