Rising energy prices create global chaos
Rising energy prices pose risks to the global economy and affect its development, Kristalina Georgieva, managing director of the International Monetary Fund (IMF), told reporters on Friday, June 25.
Rising energy prices are obviously dangerous for the economy of the United States and the world in general. It’s not just about their influence on inflation, but also broader implications for growth prospects. If we look at the possibility of some suspension of oil shipments, that obviously puts additional pressure on oil prices,” she said at a press conference on the annual report on the U.S. economy.
According to her, the IMF has meticulously analyzed the potential impact. “We see the need for a policy to prevent pressure on oil prices,” explained Kristalina Georgieva, pointing out the difficult situation of many emerging countries.
She added that the food crisis in the world could worsen in 2023 not only because of the situation in Ukraine but also because of poor harvests in some countries.