The International Monetary Fund (IMF) will meet with nations including Egypt, Sri Lanka, and Tunisia to discuss the steps that need to be taken to assist them as the cost of debt servicing hikes due to tighter financial conditions, the institution\u2019s chief said in an interview on Bloomberg Television on Thursday.<\/p>\n
\u201cThe good news is that we see debt, we follow it, and we are already zeroing in on countries that are in need of debt restructuring\u201d. \u201cWe have to press for debt restructuring.\u201d said Kristalina Georgieva.<\/p>\n
Georgieva highlighted that the IMF \u201cwill convene with Sri Lanka, Egypt, and Tunisia, and we will examine what realistically has to be done,\u201d without specifying that all three countries will require debt restructuring.<\/p>\n
According to Bloomberg data, while Sri Lanka and Tunisia are among the dozen or so emerging economies with dollar-denominated government bonds paying at least 1,000 basis points higher than US Treasuries \u2014 above the threshold for debt to be declared distressed \u2014 Egypt is not.<\/p>\n
The IMF and World Bank Spring Meetings, to start on Monday, will bring together finance ministers and central bankers from around the world in Washington.<\/p>\n
\u201cRussia\u2019s invasion of Ukraine and its consequences, including uncertainty and inflation, had prompted the IMF to decrease its 2022 gross domestic product forecast for 143 of its 190 member countries, accounting for 86 percent of global output,\u201d Georgieva\u00a0 added in a speech on Thursday.<\/p>\n
She said the IMF had reduced its 2022 gross domestic product prediction for 143 of its 190 member nations, or for 86 percent of global output, due to Russia\u2019s invasion of Ukraine and its effects, including uncertainty and inflation.<\/p>\n
\u201cSome nations will require debt restructuring, with 60 per cent of low-income nations in or near debt distress.\u201d On Sri Lanka, the nation \u201chas appointed very prominent Sri Lankan economists to be advisers.\u201d \u201cThat gives me hope.\u201d Georgieva concluded.<\/p>\n","protected":false},"excerpt":{"rendered":"
The International Monetary Fund (IMF) will meet with nations including Egypt, Sri Lanka, and Tunisia to discuss the steps that need to be taken to assist them as the cost of debt servicing hikes due to tighter financial conditions, the institution\u2019s chief said in an interview on Bloomberg Television on Thursday.<\/p>\n","protected":false},"author":4,"featured_media":319992,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[24,33],"tags":[],"class_list":["post-325239","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-development-partners","category-main"],"yoast_head":"\n