Trade Wars May Bring Worse Effect, World Bank & IMF Officials Assert
WORLD BANK – The World Bank and the International Monetary Fund (IMF) are calling for an end to the trade wars to avoid a worse effect.
Several countries now are involved in certain issues leading to the creation of walls instead of bridges. One of which is the trade war between the United States and China – the two (2) countries with the biggest economies in the world.
The trade war is just one of the many issues that have direct impact on the global economy. The rising tensions in the Middle East also contribute to the movement of the state of economy.
Recently, based on a report on ABC News, the World Bank and the International Monetary Fund (IMF) have joined hands in making a call. They are appealing for the end of the trade wars to avoid a worse effect.
According to the report, the World Bank and the IMF officials plead for an end to trade wars to prevent further global economy slowdown. Kristalina Georgieva, the managing director of IMF, stressed that tensions are affecting the fields of business and investment.
“Trade tensions are now taking a toll on business confidence and investment,” Georgieva said at the meeting with the finance officials. She is a Bulgarian economist who had been the second official of WB.
According to her, 90% of the global economy is experiencing a weaker growth this 2019. She also cited the estimate of IMF that the growth will only bet at 3% – the weakest in a decade.
Aside from Georgieva, the president of World Bank also spoke. Based on the report, David Malpass stressed that the slowing down of the global economy affects the pursuit to help 700 million people worldwide. A lot of people most especially those struck with flood are in need of help.
The appeal of World Bank and IMF to end the trade wars are addressed to its 189 member countries. It was confirmed by Taro Aso, the prime minister of Japan, the officials present at the meeting agreed to continue expanding the global economy amid weak pacing.