The global economy is projected to grow 5.9 percent in 2021 and 4.9 percent in 2022, 0.1 percentage point lower for 2021 than in the July forecast. The global economic recovery is continuing, even as the pandemic resurges. The fault lines opened up by COVID-19 are looking more persistent—near-term divergences are expected to leave lasting imprints on medium-term performance. Vaccine access and early policy support are the principal drivers of the gaps.
Global Financial Stability Report, October 2021: COVID-19, Crypto, and Climate: Navigating Challenging Transitions
Financial stability risks have been contained so far, reflecting ongoing policy support and a rebound in the global economy earlier this year. Chapter 1 explains that financial conditions have eased further in net in advanced economies but changed little in emerging markets. Chapter 2 discusses the opportunities and challenges of the crypto ecosystem. Chapter 3 shows that sustainable funds can support the global transition to a green economy but must be scaled up to have a major impact.
Chapter 1 discusses fiscal policies amidst an uncertain and uneven recovery from the COVID-19 pandemic. Chapter 2 explains how committing to sound public finances, with a credible set of rules and institutions to guide fiscal policy, can help governments address challenges as they try to recover from the pandemic.
The recently published 2021 IMF Annual Report looks back at the unprecedented challenges of the past year and the extraordinary response to support the global economy. During FY21, the IMF lent $98 billion to 54 countries, provided 36 country health checks, and allocated $251 million for technical advice, policy-oriented training, and peer learning.
Check out the special issue on climate, produced in partnership with the UN Climate Change Conference, featuring a diverse range of voices from academics, policymakers, the private sector, and youth activists.
"We have no time to waste. As we look ahead to COP26, we must be ready to move decisively—together. We know what must be done; now we must do." - Kristalina Georgieva, Managing Direcor, IMF
This Note provides guidance for staff on the treatment and use of allocations of Special Drawing Rights (SDRs). It presents a consistent framework for IMF country teams to assess the macroeconomic implications of the SDR allocation at the country level, covering the following areas: • Statistical and accounting treatment. • General macroeconomic implications and advice. • Debt sustainability analysis. • Transparency and accountability. • Reserve management. • Implications for Fund-supported programs.
Overall current account deficits and surpluses widened in 2020 to 3.2 percent of world GDP. The IMF’s multilateral approach suggests that global excessive imbalanceswere broadly unchanged in 2020 at about 1.2 percent of world GDP. The external outlook for2021 is highly uncertain given the divergent economic prospects across countries.
The Global Informal Workforce is a fresh look at the informal economy around the world and its impact on the macroeconomy. The book covers interactions between the informal economy, labor and product markets, gender equality, fiscal institutions and outcomes, social protection, and financial inclusion. Informality is a widespread and persistent phenomenon that affects how fast economies can grow, develop, and provide decent economic opportunities for their populations. The COVID-19 pandemic has helped to uncover the vulnerabilities of the informal workforce.