IMF warns global economy could lose $4 trln in output: Report

The global economy could lose $4 trillion in output through 2026, Bloomberg reported, citing Kristalina Georgieva, IMF Managing Director, who said in prepared remarks for an IMF event Thursday in Washington.

She added that the economy increasingly faces the risk of recession.

“The situation is more likely to get worse than to get better,” Georgieva noted, citing uncertainty that remains “extremely high” after Russia’s invasion of Ukraine and the pandemic.

She also warned that “there could be even more economic shocks.”

The IMF estimates countries accounting for around a third of the global economy will experience at least two consecutive quarters of contraction this or next year, Georgieva said.