Could the world’s biggest economies collapse?

The International Monetary Fund predicts a difficult winter for Europe against the backdrop of severe challenges facing the economies of some countries. A recession is out of the question. This was stated by the head of the IMF Kristalina Georgieva in an interview with CBS, reports Reuters. Of course, the forecast cannot be called final and irrevocable, but the global situation is really complicated. It is possible that some European countries will experience a recession in 2023 (general decline in economic activity, zero growth in gross domestic product). The problems are connected with the simultaneous slowdown of the three main “motors” of the world – China, the United States of America and the European Union. “The new year will be harder than the one we are leaving behind. Why? Because the three major economies – the US, the EU and China – are slowing down at the same time. For the first time in 40 years, China’s GDP growth is likely to be at or below the global level,” she said. Georgiev. Back in October last year, the International Monetary Fund lowered its forecast for global economic growth in 2023. This was caused by several factors, including Russia’s long-term full-scale war against Ukraine. Inflationary pressures and high interest rates set by central banks also had a big impact.