IMF calls on China to take a constructive approach in the fight against Covid-19

In an interview with the Associated Press agency in Berlin, the German capital, Georgieva referred to China’s strategy to combat the Covid-19 epidemic, which is causing increasing social and economic difficulties.

Noting that China should take a more goal-oriented approach instead of a mass curfew in the fight against Covid-19, Georgieva said that this approach can be a change that will ease the impact of the epidemic on the world economy. .

Georgieva recalled that the world economy is currently dealing with high inflation, the energy crisis and the disruption of food supplies.

Recommending that China’s “case zero” epidemic control measures be readjusted due to the impact on people and the economy, Georgieva said, “We see that it is important to move away from major lockdowns and be subject to restrictions.” she said she.

Kristalina Georgieva said that being goal-oriented allows limiting the spread of Covid-19 without major economic costs.

HIGH INFLATION AND HUNGER CRISIS

IMF Managing Director Georgieva has called on China to review its vaccination policies and focus on vaccinating the “most vulnerable people”.

Stating that the biggest risk facing the global economy is high inflation, which requires central banks to raise interest rates, Georgieva said inflation hurts growth and hits the poorest people hardest.

Asked if the Fed should stop raising interest rates, Georgieva replied: “Until inflation falls reliably, the Fed has no choice but to go down the same path.” she gave the answer.

Georgieva noted that if inflation in the US is left unchecked, it could have a “spillover effect” on the rest of the world, adding that inflation data in Europe and the US indicate that it is too early to give an indication. step. back.

IMF Director Georgieva expressed hope that there will be a greater orientation towards renewable energy in Europe with the energy crisis caused by the war between Russia and Ukraine.

Warning that the international tension between China and Western countries, and Russia and Western countries poses a threat to trade restriction and the beneficial effects of trade on economic growth and welfare, Georgieva said the supply chain has been damaged. by the epidemic and that it is necessary to work hard to combat it.

Georgieva described the rise in hunger in developing countries as “the most important solvable problem in the world.”

Saying that signs of rising famine were seen before the Russia-Ukraine War, which disrupted grain supplies to countries in Africa and the Middle East, Georgieva said efforts such as increased investment in resilient agriculture, support for small farmers and reducing food waste could be part of the solution to hunger.

Georgieva noted that the world needs a “comprehensive food security plan that reduces waste, increases productivity and, most importantly, focuses more on small-scale agriculture, which is an important source of livelihood for people in developing countries”. (AA)