The IMF's long-term projections for the world are the weakest they've ever been. And the stark language it uses in its latest set of assessments point to an unsettling outlook for the global economy.
That leaves central banks facing a nerve-wracking challenge - on the one hand, trying to resolve the cost of living crisis could actually provoke more financial explosions.
On the other hand, holding back on rate rises could allow inflation to become"embedded", which could be even worse for everyone.The long-term concerns are deeper-seated. The Fund is worried the outlook for global growth is getting weaker and weaker. Its latest long-term projections for the world are the weakest they've ever been.The"ominous" worry, says the IMF, is that this is a sign that the long shadow of protectionism is beginning to take its toll on global growth.
Countries around the world, including the United States, are pouring money into their industries in an effort to attract businesses back into the country, repatriating the manufacturing they once offshored to Asia. That might sound positive to some US businesses but it might also result in a less efficient, less productive world.
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