IMF chief: 'Clear we have entered recession'

News Image

By MG News | March 27, 2020 at 09:21 PM GMT+05:00

0:00

March 27, 2020: The coronavirus pandemic has driven the global economy into a downturn that will require massive funding to help developing nations, IMF chief Kristalina Georgieva said Friday.

"It is clear that we have entered a recession" that will be worse than in 2009 following the global financial crisis, she said in an online press briefing.

With the worldwide economic "sudden stop," Georgieva said the fund's estimate "for the overall financial needs of emerging markets is $2.5 trillion."

But she warned that estimate "is on the lower end."

Governments in emerging markets, which have suffered an exodus of capital of more than $83 billion in recent weeks, can cover much of that, but "clearly the domestic resources are insufficient" and many already have high debt loads.

Over 80 countries, mostly of low incomes, have already have requested emergency aid from the International Monetary Fund, she said.

"We do know that their own reserves and domestic resources will not be sufficient," Georgieva said, adding that the fund is aiming to beef up its response "to do more, do it better, do it faster than ever before."

The IMF chief spoke to reporters following a virtual meeting with the Washington-based lender's steering committee, when she officially requested a increase in the fund's fast-deploying emergency facilities from their current level of around $50 billion.

She also welcomed the $2.2 trillion economic package approved by the US Senate, saying "it is absolutely necessary to cushion the world's largest economy against an abrupt drop the economic activities."

AFP/APP

Related News

Name Price/Vol %Chg/NChg
KSE100 131,066.57
69.63M
0.29%
379.91
ALLSHR 81,595.90
326.94M
0.36%
290.65
KSE30 40,063.79
29.82M
0.30%
118.34
KMI30 191,095.36
35.04M
0.21%
397.31
KMIALLSHR 55,127.96
159.19M
0.10%
53.80
BKTi 34,940.52
5.52M
1.08%
372.12
OGTi 28,578.49
2.78M
-0.56%
-160.86
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 109,470.00 110,525.00
109,375.00
-945.00
-0.86%
BRENT CRUDE 68.43 68.89
68.42
-0.37
-0.54%
RICHARDS BAY COAL MONTHLY 97.50 0.00
0.00
-0.75
-0.76%
ROTTERDAM COAL MONTHLY 108.45 109.80
108.45
-0.55
-0.50%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 66.74 67.18
66.72
-0.26
-0.39%
SUGAR #11 WORLD 16.37 16.40
15.44
0.79
5.07%

Chart of the Day


Latest News
July 04, 2025 at 11:24 AM GMT+05:00

Pakistan calls for credit rating reform at UN FFD4 summit


July 04, 2025 at 11:07 AM GMT+05:00

Saudi Riyal available at PKR 76.4 in open market


July 04, 2025 at 10:45 AM GMT+05:00

Pakistan charts AI roadmap for key development sectors


July 04, 2025 at 09:49 AM GMT+05:00

Lucky Cement achieves historic export milestone



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg