The President of the World Bank suggested to take measures to prevent the risk of stagnation

The World Bank official website David Malpass, the chief of the issuer of the World Bank on June 10, signed the article that the latest forecast of the World Bank shows that the global economic growth rate in 2022 will slow to 2.9%, far below the January 2022 in January 2022 Forecast value. Although developing economies can achieve a 3.4%economic growth, it is also lower than its average level between 2011-2019. There are weak investment in many regions in the world, and the inflation rate of some countries is at a high level in decades, and the supply of key commodities is difficult to achieve rapid growth. Essence

Malpaas emphasized that at present, some economies of economies have high external public debt, most of the creditors are individuals or private institutions, and interest rates are basically variable interest rates, and there is a danger of sudden soaring. With the tightening of external financing conditions and the depreciation of the currency of some countries, low -income and middle -income economies may face debt dilemma. The increasing increase in the relief policy of the United States and other developed countries and the increase in global borrowing costs will also have adverse effects on developing countries. In addition, in the next few years, some fiscal support measures launched to cope with the epidemic of new crown pneumonia will be canceled, but the level of public and private debt will still be at a high level. To this end, it is necessary to optimize the supply chain, SMEs and capital allocation of financial and monetary policy tools, while reducing inequality and striving to increase residential income.

In Malpas's view, in order to reduce the risk of stagnation, targeted measures are needed. It is necessary to control oil and food prices, increase food and energy supply, and stabilize the expectations of inflation. Take comprehensive and large -scale debt relief measures to reduce the vulnerability of debt in low -income countries, slow down the speed of the debt crisis to spread to medium -income countries, and avoid systemic risks of global economy. Strengthen the construction of public health and promote the immune work of low -income countries. Accelerate the transformation of low -carbon energy and increase investment in the construction of power grid infrastructure, development of clean energy and improving energy efficiency to reduce dependence on fossil fuel. In addition, climate intelligent supervision framework should be established, the incentive structure is adjusted, and land use supervision should be strengthened.

Source: China Social Science Network-Journal of Social Sciences of China

Author: Yao Xiaodan/Compilation

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