To ensure that the recovery continues, it is essential that support not be prematurely withdrawn.". As lockdowns have eased and businesses around the world have been allowed to reopen, there has been a "sharp rebound of output, consumption and employment," they said in Foreign Policy magazine. But governments will have to be cautious in how they distribute their scarce resources, and some companies will inevitably fail, especially in industries like travel that may not survive or will be curtailed in a post-pandemic world. The massive scale and speed of government support has helped cushion the blow and allowed for the initial rebound, Gopinath and Georgieva wrote. All rights reserved. In a column co-authored with IMF chief economist Gita Gopinath, the officials stressed that governments should continue to support workers and businesses since the unprecedented nature of the crisis could give rise to a wave of bankruptcies and job destruction. WASHINGTON: The global economy is showing signs of bouncing back from the severe downturn caused by the global coronavirus pandemic, but a full recovery is "unlikely" without a vaccine, International Monetary Fund (IMF) chief Kristalina Georgieva (pix) said today. Businesses, even insolvent firms, will need continued help to prevent destruction of millions of jobs. IMF warns of a ‘long ascent’ to pre-crisis levels, but will soon upgrade its GDP forecasts Published Tue, Oct 6 2020 8:15 AM EDT Updated Tue, Oct 6 … "This crisis, however, is far from over," they said. — Reuters pic. That could include governments taking equity in firms or providing grants in exchange for higher tax rates later, they said. IMF chief Kristalina Georgieva says a full recovery of the global economic crisis is ‘unlikely’ without a vaccine. WASHINGTON, Sept 10 ― The global economy is showing signs of bouncing back from the severe downturn caused by the global coronavirus pandemic, but a full recovery is “unlikely” without a vaccine, IMF chief Kristalina Georgieva said yesterday. The International Monetary Fund (IMF) has called for the extension of the G20’s Debt Service Suspension Initiative (DSSI) into 2021, among other measures to prevent what it describes as a “developing country debt crisis.” The IMF made the call in a new blog post written by its Managing Director, Kristalina Georgieva, and two of its Directors. IMF chief warns global economic crisis 'far from over' 09 Sep 2020 / 23:15 H. AFPPIX. And, "Though the world has learned to live with the virus, a full recovery is unlikely without a permanent medical solution. "The recovery remains very fragile and uneven across regions and sectors. The hit to both human and physical capital would reduce the capacity of the global economy and result in output remaining well below the IMF’s pre-crisis projections for years to come. Copyright © 2020 Sun Media Corporation Sdn. IMF chief warns global economic crisis 'far from over', South Korea launches antitrust probe into Google, Outrage after French police shot in surprise attack, Penang govt postpones motion on assemblymen vacating seats, Water supply fully restored in 259 areas - Air Selangor, Amazon moves against India’s Future Group over Reliance deal, UK regulator seeks to review O2-Virgin deal, Greece urges Turkey to "step back" from reopening of Cyprus beach resort, CONTEMPORARY AMPEREX TECHNOLOGY SAYS TWO SHAREHOLDERS CUT A COMBINED 1.14% STAKE IN THE COMPANY BETWEEN APRIL 29 AND SEPT 29, YG Entertainment to remove all nurse costume scenes in Lovesick Girls MV, Netizens laud body positivity message in Rihanna’s latest Savage X Fenty collection for men, Abhishek Bachchan and wife, Aishwarya Rai, Abhishek Bachchan responds to ‘jobless’ comments with grace, Scrrenshot from Chrissy Teigen’s Instagram, Model Chrissy Teigen loses baby due to pregnancy complications. ", With 128 coronavirus vaccines currently under development, there is a strong chance a solution will be found, but "we must urgently devise multilateral solutions" to ensure adequate supply and distribution, Georgieva and Gopinath wrote. – AFP. Bhd.