International Monetary Fund (IMF) chief Kristalina Georgievawarned of a global recession.
Kristalina Georgieva, participated in an interview on the CBS channel. “We expect one-third of the global economy to go into recession,” Georgieva commented. The head of the IMF commented that the biggest reason for this recession will be the slowdowns in the USA, European Union and China.
According to the President, although the USA is in a position to escape this recession, the European Union is already experiencing this recession. The ongoing war between Ukraine and Russia has created serious problems in the region, especially in continental Europe. Georgieva added that the slowdown of major economies will have a significant impact on emerging markets. The slowdown has not become a global trend and is expected to drag down the entire global market.
Koinfinans.com As we reported, after a large number of Covid-positive cases were seen in December, China forced its people to stay at home and commercial activities came to a halt. The country’s economic activity is at its slowest level since 2020, when the pandemic first hit.
According to the IMF chief, more than a third of the world’s economies will be affected by a global recession, with a 25% chance of global GDP growing only 2% or less by 2023.
How Will Recession Affect Cryptocurrencies?
your recessions cryptocurrency could have a significant impact on the market. In times of economic downturn, people may be more inclined to invest in safe-haven assets like Bitcoin, which have a relatively stable track record during times of economic uncertainty. However, the recession may also trigger price fluctuations in the market in general. On the other hand, many developments, especially the legal regulations expected in 2023, may have a profound effect on the sector. In short, it is very difficult to predict what the result will be.