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IMF: In 18 months, inflation stronger than 5 years together! The world will face recession

2022-09-17 14:02:16Biznes SHKRUAR NGA REDAKSIA VOX
IMF: In 18 months, inflation stronger than 5 years together! The world will face
International Monetary Fund

The cost of living in the last 18 months is stronger than the global average cost of the previous 5 years combined. This is the latest conclusion drawn by the International Monetary Fund, after an analysis of global inflation.

" Food inflation alone has eroded global living standards at the same rate as overall consumption inflation in the five years before the pandemic ," says the IMF.

The same situation is described for the increase in the price of energy, which is also affecting the increase in transport costs. For 2022, the international institution expects inflation to be 6.6% in advanced economies and reach 9.5% in developing countries. These forecasts are increasing in relation to the figures published after the start of the war.

For this reason, it is required that the mitigation of inflation with measures mainly aimed at vulnerable groups should be the priority of policy makers.

In the analysis, the increase in interest rates that many central banks are applying to keep inflation under control is also identified as a risk, since according to IMF experts, it can hit the global economy.


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