IMF warns a harsh winter could lead to social unrest in Europe

Georgieva attended the “2022 Michel Camdessus Central Banking Lesson” event with the participation of the Governor of the Bank of France, François Villeroy de Galhau.

Pointing out that Europe was directly affected by the “terrible” economic consequences of the war launched by Russia in Ukraine, Georgieva said that there was a fear of recession in some countries.

EMPOWERMENT OF UNREALITY

Georgieva, “If Mother Nature decides not to cooperate and the winter is really harsh, it could lead to some social unrest” said.

Kristalina Georgieva stated that the current situation means that the European Central Bank (ECB) needs to carefully balance its fight against inflation and pay attention to the need for the economy to continue to function.

Stating that the global economy experienced shock after shock, Georgieva stated that the first of these shocks was Covid-19, and the second was the war started by Russia in Ukraine.

Pointing out that inflation is stubborn and broad-based than thought, Georgieva emphasized that central banks should also be stubborn in the fight against inflation.

Stating that if the targets of the fiscal policy are not adequately determined, it will become the enemy of monetary policy, Georgieva said that this situation will also fuel inflation.