For Georgieva (IMF), it is necessary to prepare for multiple shocks of inflation | Photo credits: IMF Photograph/Cory Hancock / CC BY-NC-ND 2.0
WASHINGTON, May 19 (Reuters) – The Managing Director of the International Monetary Fund (IMF), Kristalina Georgieva, said on Thursday that economic and financial leaders should be prepared to combat multiple rounds of inflationary pressures.
It is becoming increasingly difficult for central banks to bring down inflation without causing recessions due to soaring energy and food prices caused by the war in Ukraine, the “zero COVID” strategy “China and the need to reorganize supply chains to make them more resilient,” she told Reuters on the sidelines of the meeting of G7 finance ministers and central bankers in Germany.
“I think we need to start getting to grips with the fact that this might not be the last shock,” she added, explaining that she stopped viewing inflation as “transient” after the start of the crisis. the Omicron wave of the COVID-19 pandemic late last year.
(Report David Lawder, French version Marc Angrand, edited by Kate Entringer)