The International Monetary Fund (IMF) has downgraded its global growth projections three times. It now expects growth rates of 3.2 per cent for 2022 and 2.9 per cent for 2023.

The risks of recession are rising, she said, IMF Ms. Kristalina Georgieva stated.

The weakened supply chains, rising inflation and worsening climate conditions are hurting world economies and exacerbating other crises such as food insecurity and high debt levels among lower-income countries.

And, even when growth is positive, it will feel like a recession because of shrinking real incomes and rising prices, Ms. Georgieva said.

Central banks around the world are raising interest rates in hopes of taming inflation. The U.S. Fed has been the most aggressive with interest rate hikes, though central banks from Asia to England have begun to raise rates as well.

We are experiencing a fundamental shift in the global #economy, from a world of relative predictability to a world with more fragility — greater uncertainty, higher economic volatility, geopolitical confrontations, and more frequent and devastating natural disasters, managing director of the IMF said.

The Organization for Economic Cooperation and Development last week said the global economy is set to lose $2.8 trillion in output in 2023 because of the war.