City
Epaper

US-China trade deal to reduce global uncertainty: IMF chief

By IANS | Updated: January 19, 2020 07:50 IST

The newly signed US-China phase-one trade deal will reduce the uncertainty that has impeded global economic growth, International Monetary Fund (IMF) Managing Director Kristalina Georgieva has said.

Open in App

"It is a welcoming sign that we now have the phase-one deal, sign in terms of reducing some of the uncertainty," Georgieva said on Friday during an event hosted by Peterson Institute for International Economics, a Washington-based thinktank.

The IMF chief said her organisation is making some projections around the impact of more certainty, which will be shared on Monday as part of the World Economic Outlook to be released at the World Economic Forum in Davos, Switzerland, Xinhua reported.

The multilateral lender expects the trade deal to support the growth of China's gross domestic product (GDP), Georgieva said. "It brings China in the parameters around the 6-per cent growth for 2020, rather than below," she said.

In October, Georgieva warned that trade tensions were "taking a toll" on global growth, at a time when the global economy was going through a "synchronised slowdown".

According to the IMF's earlier calculation, the cumulative effect of the US-China trade conflict, provided no actions taken, could mean a loss of 0.8 per cent of global GDP, or around $700 billion by 2020.

"What we are seeing now is that we've some reduction of this uncertainty, but it's not eliminated," Georgieva said, adding, "we would see shrinkage of this negative impact, but not the eradication of this impact."

( With inputs from IANS )

Tags: GeorgievachinaimfPeterson Institute For International EconomicsThe World Economic Forum
Open in App

Related Stories

InternationalTyphoon Ragasa Live Tracker Map: Deadly Cyclonic Storm Nears Vietnam After Wreaking Havoc in China, Hong Kong and Taiwan; Check Real-Time Status

CricketRashid Khan-Led Afghanistan Beat Hong Kong by 94 Runs in Asia Cup 2025 Opener (VIDEO)

InternationalPM Narendra Modi, Chinese President Xi Jinping and Russian President Vladimir Putin Seen Interacting at SCO Summit 2025 in China

OpinionsChina’s Move... Fictator’s Fortune!

InternationalChina SCO Summit 2025: Meet Xiao He, Humanoid Robot, Designed to Assist During Tianjin Summit (Watch)

International Realted Stories

InternationalIndia’s participation in MONDIACULT reaffirms commitment to global cultural dialogue: Gajendra Shekhawat

InternationalPak: Blast near Frontier Corps headquarters in Quetta kills 10, injures 32

InternationalIndia and Indonesia can become unexpected brokers of new Middle Eastern balance: Italian expert

InternationalIsrael says Hamas funded and organised Gaza-bound 'Sumud' flotilla

InternationalIs Khawaja Asif queering the pitch for Pakistan caught between the Eagle and Dragon?