Economics
IMF, G-20 Warn Recovery May Be Derailed, Risks Still Very High
- IMF cautions against prematurely withdrawing stimulus measures
- G-20 members determined to keep using all tools for support
The IMF last month warned that the world economy still faces an uneven recovery until the virus is tamed.
Photographer: Benjamin Girette/BloombergThis article is for subscribers only.
Leaders of the global economy are warning that the recovery from this year’s recession is at risk and could be derailed as the resurgence of Covid-19 forces fresh restrictions on households and companies.
Both the International Monetary Fund and the Group of 20 -- which comprises the world’s richest nations -- sounded the alert as leaders of the G-20 prepare for a virtual summit this weekend, hosted by Saudi Arabia. The IMF noted progress on a vaccine, but also said elevated asset prices point to a disconnect from the real economy and a potential threat to financial stability.