IMF Welcomes MoU
TEHRAN (Defapress) - Managing Director of the International Monetary Fund, Kristalina Georgieva, wrote on the institution’s website: “A large part of the consequences of the regional war in Iran depend on the duration and severity of the energy crisis that has been created. The sooner this crisis is resolved, the better, especially since restoring energy supplies will take time due to significant damage to infrastructure. The understanding between Iran and the US is welcome news. However, if the conflict or disruptions intensify, this will pose a clear risk to global growth.
Georgieva also called on political and monetary authorities to show “discipline and agility” to control inflation and maintain fiscal balance by adopting targeted and temporary measures that do not jeopardize public financial health.
The IMF Managing Director continued by warning of the negative effects that the global economy will suffer in the coming months despite this understanding, and emphasized that this crisis will not be resolved anytime soon.
Kristalina Georgieva also noted: “The current resilience of the global economy to this crisis is a source of comfort, but we should not be complacent. The IMF remains at the highest level of alert. We are also fully aware of the economic damage that some of our members have already suffered. We will work with them to manage the crisis and limit its negative effects, especially for the most vulnerable sectors.”
The Managing Director of the International Monetary Fund further warned that if oil prices remain high until 2027, the global economy will enter a technical recession.
