Sub-Saharan Africa and Small Island States Poised to Suffer Most From Economic Challenges
Washington DC – Next week's IMF Spring meetings focus on easing global economic shocks of the Middle East war, noted IMF leader, Kristalina Georgieva in her curtain raiser remarks for the upcoming meetings. Georgieva forecasts a global economic growth slowdown, even if a lasting peace is reached in the Middle East.
“World leaders coming to Washington are receiving a very dark picture of the global economy,” said Eric LeCompte, Executive Director of the religious development group Jubilee USA Network and a United Nations finance expert. “The war is causing greater poverty and increases in our fuel and food costs."
Sub-Saharan African and small island countries are most vulnerable to the impacts, Georgieva added, announcing that their needs will take center stage at next week’s deliberations. The shock of war comes as countries are paying more in debt service than they were 20 years ago.
“The IMF is clear that current economic shocks hurt the poorest people the most,” added LeCompte.
The institution’s new flagship World Economic Outlook devotes a chapter to the economics of armed conflict.
“The IMF finds that in addition to the human toll, wars inflict higher economic costs on all countries, not just the countries in conflict,” commented LeCompte.
Read Kristalina Georgieva's curtain-raiser speech here.