Here is the IMF Chief’s video clip Crystallin Georgieva A few minutes ago, I warned that 2022 would be a tough year (as it was already!).
She also points out that food prices continued to rise, although oil prices fell due to signs of an economic slowdown last week.
That’s because you can reduce your petrol use when growth slows, but you still have to eat every day.
Billionaire businessman David Rubenstein told the Global Economic Outlook Panel that Wall Street has fallen into the territory of the bear market and the market has overreacted this year.
And he denies that this year’s tech stock downturn is a recurring 2000 dot-com crash.
At that time, companies that were nothing more than profit-free business plans, not to mention profits, were floating in the dot-com boom. The situation is not the same today.
IMF Managing Director Cristalina Georgieva adds that the two countries are already in recession. Ukraine (May shrink by 35% this year), and Russia..
Others like Sri Lanka were caught in a debt crisis because of the shock from the war.
A Davos A panel on the global economic outlook is also underway.
And it starts with a hand show-how many of the “brain trusts at the World Economic Forum” are worried about us going into recession?
About half of the hands in the room will rise.
Q: So are we already in recession in some countries?
The International Monetary Fund’s Prime Minister, Christalina Georgieva, said it wasn’t, but warned that the economic outlook has been bleak since the IMF’s last forecast.
She quoted the food crisis and said that global concerns about access to food at reasonable prices are plagued.
In addition, the climate crisis didn’t go anywhere, and digital money hit a bit rough spot (slumping crypto assets).
Looking to the future, Georgieva says recessions may be seen in weaker countries, perhaps those that haven’t recovered from the pandemic, or those that are heavily dependent on Russia’s oil.
But we haven’t seen it yet, she claims.
but, Jane Fraser, CEO Citigroup Also on the panel, she warns that Russia, the recession and (interest rate) interest rates are important factors to watch.
Asked if Europe will experience a recession, Fraser adds that she wants to be wrong and answers yes.
[On rates, European Central Bank Christine Lagarde said today the ECB is likely to start raising interest rates in July and exit sub-zero territory by the end of September.
That made the ECN the latest central banker to turn more hawkish, in the face of high inflation]..
Details from the panel:
The event had its own session as the World Cup in Qatar was approaching at the end of the year. Davos..
The violent incident from above was not so, as the panel put forth etiquette after etiquette.
FIFA President Gianni Infantino said it would be “the greatest World Cup ever” with 5 billion people attending.
Patrice Motsepe, president of the Confederation of African Football, said there was no better place to host the World Cup.
Brazilian striker Ronaldo said it was great that he was a role model for today’s superstars. Former Arsenal boss Arsene Wenger talked about good coaching to get the most out of people.
No one had a hard time mentioning the situation in which Qatar was entitled to hold a tournament or the death of a worker at a construction site.
Qatar’s Amir Tamim bin Hamad Altani has been criticized for hosting the World Cup later this year.
In the keynote here DavosAmir says the Middle East has been suffering from discrimination for decades-from people who “do not know us, and in some cases refuse to know us.”
Even today, some people cannot accept the idea that Arab Islamic countries host tournaments like the World Cup.
These individuals, including many influential people, launched attacks at an unprecedented pace when other countries on different continents hosted megasport events.
He doesn’t mention any particular country, but “each country had its own problems and challenges.”
But …. Qatar’s human rights concerns are well documented, and Amnesti reports that tens of thousands of migrant workers are still facing “forced labor.”
Last year, the Guardian reported: More than 6,500 migrant workers from India, Pakistan, Nepal, Bangladesh and Sri Lanka have died in Qatar since they acquired the right to host the World Cup 10 years ago.
And last week, a group of non-governmental organizations said Fifa should pay at least $ 440 million (£ 356 million) to migrant workers whose human rights have been violated by Qatar. World Cup..
There are also concerns about the safety of LGBTQ + people in Qatar. Same-sex relationships are a direct crime Under the laws of the Gulf countries.
The economic turmoil caused by the Covid-19 and the Ukrainian War will drive inflation, hurt growth and create more food insecurity.
The World Economic Forum’s Chief Economist Community predicts that real wages will fall further in both high- and low-income countries as inflation rises faster than wages.
The world faces the worst food insecurity in recent history, especially in the Middle East and North Africa, sub-Saharan Africa and South Asia.
The developing economy faces a trade-off between the risk of a debt crisis and food and fuel availability (as Sri Lanka showed by default last week).
Sadia Zahidi,Managing Director World Economic ForumWarns that the world is at the “top of a vicious circle” that can affect society for years and wipe out progress since the end of the Cold War.
Pandemics and wars in Ukraine have fragmented the world economy and have produced widespread consequences with the risk of wiping out profits over the last three decades.
Leaders face difficult domestic choices and trade-offs when it comes to debt, inflation and investment. But corporate and government leaders must also recognize the absolute need for global cooperation to prevent the financial misery and hunger of millions of people around the world.
Gabriella Butcher, executive director of Oxfam, said developed countries are ignoring the Covid-19 crisis in emerging markets and can have fatal consequences.
Butcher Davos A panel that vaccine injustice is a risk.
The rich world goes on thinking that Covid is no longer a problem because they are vaccinated. So they forget that the south of the world is still facing a wave of viruses, and low immunization rates (only 15% across Africa).
It goes out of focus and it is not dealt with.
Bucher explains that vaccines are not yet readily available on the scale required around the world. in short…
… in 6 months, perhaps the self-satisfaction you are feeling now can be truly deadly.
Moderna CEO Stephane BancelI agree that there are several reasons to worry, both in the south and in the north.
In the United States, only half of the vaccinated people received boost immunity on the third dose, so they are worried about the next fall and winter when antibody levels will drop.
The outbreak in China is also a concern. More infectious viruses are difficult to control with the most successful measures in 2020.
We always have to be humble in biology-and remember that more virulent viruses can emerge over time. Bansel.
The good news is that Omicron is less toxic than Delta, but “we are always a day, a week, a month, or a quarter away” from the new, more toxic variants.
Republican lawmaker Michael McCaul warned that the Ukrainian conflict could lead to a new “hot war” between Russia and the West.
Speak on the panel here DavosMcCall states that Russia’s tactics are almost World War II style, and the US military was surprised at how incompetent the Russian army was.
Putin is completely miscalculated, he says Lost one-third of the invading power..
However, warning that the conflict could escalate, McCall (representing Texas’ 10th Parliamentary District) said:
It’s the Cold War, but it’s getting hotter.
He points out that Putin brought in a “Syrian butcher” (General Alexander Dvornikov). Leave the war to him..
According to McCall, the biggest concern is that Syrian butchers may use chemical or tactical nuclear weapons.
He added that if that happened, it would be necessary to consider how NATO and the world would respond.
Ian Bremmer of Eurasia Group The panel will also ask if a new Cold War is being formed among the major nations.
Bremer We say we are in a new Cold War and are closer to a new hot war than he wants.
However, there is a “forced separation” and Russia has many problems and has become a Pariah state with the West, but not in countries such as India, China and Brazil.
Ukrainian parliamentarian Ivanna Klympush-Tsintsadze The conflict lies between the “world and the anti-world,” and Ukraine says it needs more sanctions, more weapons, and more support.
Davos Day 1: Zelensky demands maximum sanctions against Russia. Vaccine self-satisfaction “may be fatal” – Business Live | Davos 2022
Source link Davos Day 1: Zelensky demands maximum sanctions against Russia. Vaccine self-satisfaction “may be fatal” – Business Live | Davos 2022