The director of the International Monetary Fund assured that the organization “has no problems with Russia” and that its board can only suspend the country if the members of the fund say that they no longer recognize the government
Kristalina Georgieva, director of the International Monetary Fund, IMF, assured that the lender could suspend Russia only if the members of the fund say they no longer recognize the government.
“It is a very high order,” Georgieva commented during her speech at the World Summit of Governments in Dubai, in response to the question about the consequences against Russia for its war in Ukraine.
“We all know that for this war to end there must be dialogue, it will not happen without it,” added the official.
On March 10, the IMF approved a $1.4 billion disbursement for Ukraine. The lender, who closed his office in Moscow, expects “a bad recession in Russia” and an impact on neighboring countries.
During the UN Security Council held on Monday, Russia and Western countries blamed each other for the global rise in global food prices, which heralds a famine scenario for many parts of the world, especially countries mired in long crises.
Several credit rating agencies claim that Russia is about to default on government bonds following its invasion of Ukraine. A scenario reminiscent of Moscow’s default in 1998, which helped fuel financial turmoil around the world.
The Fitch agency has said that “a process of default or similar to a default has been initiated” because Russia did not pay foreign investors, such as funds that invest in emerging market bonds, on March 2. Since then, there has been a grace period of 30 days before the country officially goes into default.
#Economy #IMF #rules #suspension #Russia #members #unaware