IMF Chief Warns of Turbulence as Nations Withdraw Stimulus

The world faces greater uncertainty and potential turbulence this year, with the economic recovery’s momentum slowing and risks from inflation and supply-chain bottlenecks to social unrest looming, the International Monetary Fund’s chief said.

The IMF is preparing for a potential increase in demand for its lending this year as central banks tighten monetary policy and after many developing countries increased their debt, Managing Director Kristalina Georgieva said at a virtual event on Wednesday. Disaffection with two years of economic upheaval from the pandemic could lead to greater unrest in some countries, she said.