The head of the 189-nation International Monetary Fund says the world is facing a time of high uncertainty with 70 percent of the global economy caught in a growth slowdown that could be worsened by self-inflicted wounds such as unnecessary trade battles.
IMF Managing Director Christine Lagarde says that while her agency is forecasting a rebound in growth next year that forecast is “precarious and subject to downside risks” with rising trade tensions a top threat. Trade flows have been shaken by the Trump administration’s efforts to force trade reforms on China.
Lagarde spoke at the opening of three days of global finance meetings. At a separate news conference, World Bank President David Malpass said that the current slowdown in global growth is jeopardizing the fight against extreme poverty.