You are using an older browser version. Please use a supported version for the best MSN experience.

Amid coronavirus pandemic, IMF declares 'global recession'; says things are to be worse than 2009 financial crisis

DNA logo DNA 27-03-2020 dnawebdesk@gmail.com (DNA Web Desk)

The International Monetary Fund (IMF) chief Kristalina Georgieva on Friday said that the coronavirus pandemic has hit the global economy so hard that the world has entered into a recession.

The economy will require massive funding to help the developing nations turn around from the downturn resulting from the pandemic, the IMF chief said.

In pics: COVID-19 outbreak around the world

"It is clear that we have entered a recession" that will be worse than in 2009 following the global financial crisis, she said in an online press briefing.

With the worldwide economic "sudden stop," Georgieva said the fund's estimate "for the overall financial needs of emerging markets is $2.5 trillion." However, she warned that it could just be the lower end.

Logo of International Monetary Fund © REUTERS/Johannes P. Christo Logo of International Monetary Fund

Over 80 countries already have requested emergency aid from the International Monetary Fund, news agency AFP reported.

Also watch: 3-month moratorium on all loans, says RBI Governor (Video by News18)

COVID-19 outbreak: 3-month moratorium on all loans, says RBI Governor
UP NEXT
UP NEXT

Earlier on Thursday, the G-20 countries conducted an emergency session to decide the measures to be taken considering the global impact of the coronavirus disease (COVID-19) pandemic outbreak, especially on the economic front.

In this backdrop, the G-20 countries on this day pledged to inject over $5 trillion into the global economy to counteract the social, economic, and financial impact of the virus.

The leaders said that bold and large-scale fiscal support measures will be conducted by the countries and that collective G20 action will amplify its impact, ensure coherence, and harness synergies.

IMF Managing Director Kristalina Georgieva © Samuel Corum/Getty Images IMF Managing Director Kristalina Georgieva

The leaders also asked their finance ministers and central bank governors to coordinate on a regular basis to develop a G20 action plan in response to COVID-19 and work closely with international organizations to swiftly deliver the appropriate international financial assistance.

The statement welcomed the steps taken by the IMF and the WBG (world bank group) to support countries in need using all instruments to the fullest extent as part of a coordinated global response and asked them to regularly update the G20 on the impact of the pandemic, their response and policy recommendations.

 

Follow the government's latest travel advice if you are planning a trip outside India or travelling back to India from affected areas. You can also read World Health Organization's advice on basic protective measures against the virus. WHO has also busted some myths surrounding coronavirus. The Ministry of Health's special helpline is available at +91-11- 23978046 and ncov2019@gmail.com.

 

More from DNA

image beaconimage beaconimage beacon