The IMF Looked At The Global Economy And Realized Everything Just Sucks
The IMF assessed the state of the global economy ahead of a G20 summit meeting in Indonesia and found that just about everything was both bad and getting worse.
It blamed the darker outlook on tightening monetary policy triggered by persistently high and broad-based inflation, weak growth momentum in China, and ongoing supply disruptions and food insecurity caused by Russia’s invasion of Ukraine.
This was an even worse outlook than the IMF announced last month when it cut its forecast of global economic growth to 2.7%.
Between high inflation just about everywhere and contracting or collapsing economic activity just about everywhere, there simply are no economic bright spots anywhere. It’s all bad news.
This, of course, comes as no surprise, as the global economy has been signaling for a while now that a major SHTF moment is coming.
Moreover, falling fertilizer production could spell a good deal more than just food insecurity in 2023. Hunger and even famine is a very real possibility for an increasing number of countries.
Meanwhile, Europe is not merely facing economic contraction and recession. An economic depression with potential de-industrialization is a very real outcome for Europe.
The only real flaw in the IMF’s prognosis for the global economy is that, despite an even grimmer outlook than just a month ago, it probably still has not stated just how bad things are likely to get.
Interesting times are coming…everywhere.