In a press conference held during the IMF/World Bank Annual Meetings in Washington, D.C., IMF Managing Director Kristalina Georgieva provided a cautiously optimistic assessment of the global economy. Despite facing significant geopolitical and economic pressures, the global economy has demonstrated unexpected resilience, performing ‘better than expected, but worse than needed.’ Georgieva highlighted the impact of fluctuating tariffs, political uncertainty, and recession fears over the past six months, which have tested economic stability worldwide. The IMF’s latest World Economic Outlook reveals that global growth remains steady, with projections indicating a slight slowdown from 3.3 percent in the previous year to 3.2 percent this year and 3.1 percent in 2026. Georgieva attributed this resilience to stronger policy fundamentals in emerging markets and the private sector’s swift adaptation through frontloading imports and reinforcing supply chains. However, she cautioned that medium-term growth prospects remain weak, with public debt nearing record highs and global imbalances persisting. Georgieva emphasized the need for countries to focus on unlocking private sector growth, securing strong macroeconomic fundamentals, and addressing global imbalances to strengthen economic resilience. The meetings concluded on Friday at the IMF headquarters in Washington, D.C.
IMF Managing Director says global economy performing better than expected, but challenges persist
