Market outlooks

IMF warns of ‘permanent fragmentation’

Pierre-Olivier Gourinchas, Economic Counsellor and Director of the Research Department at the IMF.
The International Monetary Fund has warned of a more permanent fragmentation of the world economy into geopolitical blocks with distinct technology standards, cross-border payment systems, and reserve currencies. The fund has lowered its growth outlook for the global economy and warned that inflation in many countries is threatening to undermine future growth. “Inflation has become a clear and present danger in many countries,” the IMF said.

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