The IMF Forecasts A Decline In Per Capita Income In 170 Countries
An outbreak of coronavirus infection will lead to a decrease in per capita income in 170 countries, and the International Monetary Fund (IMF) is ready to use all lending tools to help developing countries. This was stated by the Managing Director of the IMF Kristalina Georgieva. The text of the Director's statement was distributed on Monday by the Foundation's press service.
"The forecast is terrible. We expect a decline in global economic activity on a scale that has not been seen since the great depression (the 30s of the last century), - said Georgieva. "This year, 170 countries will record a decline in per capita income, while in the past months we have forecast an increase in per capita income in 160 economies."
According to her, the situation in developing countries is of particular concern. "There is a record decline of about $100 billion," the Director said. - Those who depend on raw materials will suffer from lower export prices. Tourism-oriented countries are facing a collapse in revenue."
The IMF, she said, can use its lending tools to help developing countries. "Significant resources may be required if the pressure on markets continues," Georgieva said. "We are ready to deploy all our credit capabilities and mobilize all levels of the global financial security network to prevent this."
An outbreak of the coronavirus-induced disease was recorded in late 2019 in Central China and has spread to most countries. On March 11, the world health organization recognized it as a pandemic. All countries and territories were forced to take various emergency measures of a sanitary and epidemiological nature. The pandemic has led to a deep international economic crisis. According to the IMF forecast, this year the global economy will record a decline of 3%.