Geoffrey Smith 

Investing.com — In response to the worldwide surge of inflation and the Russian invasion of Ukraine, the International Monetary Fund and the World Bank lowered their growth projections for 2022. 

According to the Fund’s new World Economic Outlook, which was published Tuesday, global gross domestic products will grow by 3.6% in this and next year. It is an increase of 0.2% and 0.8 percentage points respectively, compared to its December forecasts. 

“The conflict in Ukraine has created a humanitarian emergency that requires a peaceful solution.” According to the IMF, “The conflict is also likely to cause significant global slowdowns in growth by 2022, and inflation. Food and fuel prices have risen rapidly. This has made it difficult for low-income populations to access food and fuel.

After a devastating hit in 2020 that was the first year after the pandemic, the world’s GDP has rebounded to 6.1% by 2021. 

Inflation is expected to reach an average 5.7% in advanced countries this year, while emerging economies will experience an 8.7% average. It’s a revision upward of 1.8 points or 2.8 points.