🏦 According to the IMF, the world economy is increasingly vulnerable to the risks of an outright recession, with all the main centres of the global markets experiencing notable difficulties.

🇺🇸 In the case of the US, this is the high inflation and the Fed rate hikes that are adversely affecting economic activity.

🇪🇺 In Europe, apart from concerns over high inflation, there is the lingering threat of energy shortages.

🇨🇳 In China, economic activity has fallen notably compared to the preceding year, which is in part due to the persistence of the adversities associated with the Covid pandemic.

The increasing frequency of recessions in the global economy raises questions about the adequacy of the current framework of global governance in the economic sphere. 

The Covid pandemic, energy shortages, geopolitical vulnerabilities – all of these global issues have not been adequately addressed by the international community in the past several years.

This brings us yet again to the need for changes in global governance – the increasing intensity and frequency of global recessions puts into doubt the adequacy of the existing global framework, writes Valdai Club Programme Director Yaroslav Lissovolik.

https://valdaiclub.com/a/highlights/recession-ahead-what-are-the-remedies/

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