We Have Entered Recession That Will Be Worse Than 2009: IMF Chief

Washington: The coronavirus pandemic has driven the global economy into a downturn that will require massive funding to help developing nations, IMF chief Kristalina Georgieva said on Friday.

“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, the fund’s estimate for the overall financial needs of emerging markets is $2.5 trillion, she said.

But she warned that estimate “is on the lower end.”

Over 80 countries, mostly of low incomes, have already requested emergency aid from the International Monetary Fund, she said.

“We do know that their own reserves and domestic resources will not be sufficient,” Georgieva said, adding that the fund is aiming to beef up its response “to do more, do it better, do it faster than ever before.”