News about IMF

China's economy grew 4.5% from a year earlier in July-September, faster than the 4.3% pace in April-June, which was the slowest in more than three years, bringing it closer to the 4.5%-5% target for the year. The IMF has trimmed its 2026 forecast to 4.5%, the bottom of that range, while Moody's Analytics' Dave Chia said domestic demand was weak even as trade grew strongly. The Conference Board's Max Zenglein warned that the headline figure masks widening disparities across industries, regions and households, while a prolonged property slump has squeezed household wealth and pushed up savings. Exports rose 36% last month, and the trade surplus is on track to surpass last year's record $1.2 trillion, adding pressure from trade partners including the EU, which runs a deficit of more than $1.1 billion a day with China. Professor Eswar Prasad of Cornell said reliance on foreign demand is unsustainable.

IMF African Department director Zeine Zeidane warned that sub-Saharan African economies could face worsening food insecurity if new shocks keep pushing up food prices. He said grain prices have risen significantly over the past six or seven months because of higher fertilizer prices tied to the U.S.-Iran conflict and Strait of Hormuz disruptions, while attacks on Black Sea grain shipments and possible El Nino weather add further risk to output. According to the IMF's Regional Economic Outlook Update, median regional inflation is projected to rise from 3.4 percent in 2025 to 4.3 percent in 2026 and 5.0 percent in 2027, while growth is forecast at 4.5 percent for both 2026 and 2027. U.S. 10-year Treasury yields have risen by more than 100 basis points since the conflict began, raising borrowing costs for African countries. Zeidane also noted that Asian countries, especially China, have become increasingly important trading partners and financiers for Africa.

IMF official Zeine Zeidane warned that food insecurity in sub-Saharan Africa could worsen if new shocks keep pushing up food prices. Fertilizer prices rose sharply this year due to the U.S.-Iran conflict and disruptions around the Strait of Hormuz, while attacks on grain shipments in the Black Sea and El Nino could further reduce agricultural output. The IMF projects median inflation in the region to rise from 3.4 percent in 2025 to 4.3 percent in 2026 and 5.0 percent in 2027, with growth at 4.5 percent in both 2026 and 2027. The IMF update notes that high interest burdens, low reserves and falling aid leave little room to absorb another shock, and U.S. 10-year Treasury yields have risen more than 100 basis points since the conflict began. The IMF supports nearly 20 countries and is in ongoing discussions with about 10 others on potential new programs.

IMF African Department director Zeine Zeidane warned that food insecurity in sub-Saharan Africa could worsen if new shocks keep pushing up food prices, as grain prices have risen significantly over the past six to seven months because of fertilizer costs. The U.S.-Iran conflict and Strait of Hormuz disruptions drove fertilizer prices up this year, while attacks on Black Sea grain shipments and possible El Nino effects add further risk. The IMF's updated outlook projects median regional inflation rising from 3.4% in 2025 to 4.3% in 2026 and 5.0% in 2027, with growth at 4.5% in both years. U.S. 10-year Treasury yields have risen by more than 100 basis points since the conflict started, raising borrowing costs for African countries, and Zeidane said China is now the largest trading partner in almost every African country.

An IMF official warned that sub-Saharan African economies could face worse food insecurity if new shocks keep driving up food prices, which have risen significantly over six or seven months partly because of fertilizer costs tied to the U.S.-Iran conflict. Zeine Zeidane, director of the IMF's African Department, also cited Black Sea grain shipment attacks and possible El Niño effects, and said the IMF's update calls for a tightening bias in monetary policy to control inflation. The update projects median regional inflation rising from 3.4% in 2025 to 4.3% in 2026 and 5.0% in 2027, with growth at 4.5% in both years. It warns that high interest burdens, low reserves and falling aid leave little room to absorb another shock, and that U.S. 10-year Treasury yields up more than 100 basis points since the conflict began keep borrowing costs high.

IMF and World Bank meetings last week offered developing countries no new answers to the challenges posed by the Middle East war, the war in Ukraine, rising debt payments and a potential AI bubble. IMF chief Kristalina Georgieva said advanced economies were the worst offenders on budget imbalances, while average debt service payments in developing countries had more than doubled over a decade to 14% of government revenue. Experts said the institutions were poorly prepared for this new phase, and Georgieva warned people not to trust those claiming to have AI answers. The World Bank said developing-country growth had slowed to around 3.6% from 4.4%, and repeated shocks made outlooks worse than before. Floods in September caused almost $200 million in damage to Thailand's industrial sector, a reminder of the challenges facing developing economies.

A UNDP report, 'No Time to Recover', warns that developing economies face compounding crises from the Middle East conflict, rising energy prices, an El Niño expected to be the strongest on record, and interest rates at multi-decade highs, all while fiscal buffers are depleted. UNDP administrator Alexander De Croo said the cost of bond financing for developing countries is 9%, 'really, really high', and sees no light at the end of the tunnel for fuel prices, El Niño or bond markets. The World Bank says poverty in the MENAAP region remains above pre-pandemic levels, with Pakistan accounting for nearly half of the region's extreme poor. The IMF warned the global economy 'could soon test the limits of resilience' as emergency oil stocks run low and high debt leaves governments with little room to protect consumers from future price jumps.

Kristalina Georgieva, Managing Director of the IMF, expressed confidence that the UAE will deliver an exceptional hosting experience for the 2029 Annual Meetings of the World Bank Group and IMF in Abu Dhabi, citing its advanced infrastructure, strong economy and commitment to climate, water and social issues. Speaking at the signing ceremony in Bangkok, she said meetings held outside Washington always attract particular interest and that this year's meetings in Thailand had set new standards. Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini said the agreement turns the UAE leadership's vision into action and plans to integrate artificial intelligence into the meetings. World Bank Group President Ajay Banga looked forward to returning to Abu Dhabi after 26 years, while Central Bank of the UAE Governor Khaled Mohamed Balama said the event reinforces the country's role as a global financial hub.

The United Arab Emirates has concluded its participation in the 2026 Annual Meetings of the IMF and World Bank Group, held in Bangkok from 12 to 18 October, with a delegation led by Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini. The delegation took part in ministerial sessions, the G20 finance meeting and the IMFC plenary, met IMF Managing Director Kristalina Georgieva and World Bank Group President Ajay Banga, and held bilateral talks with several international financial institutions. The UAE stressed the need for broader strategic cooperation and modern financing tools to sustain development finance. Al Hussaini said sustained collective action is needed to safeguard global financial stability, energy security, supply chain stability and technological transformation.

The UAE concluded its participation in the 2026 Annual Meetings of the IMF and World Bank Group, held in Bangkok from 12 to 18 October, with a Ministry of Finance delegation led by Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini. The delegation attended ministerial sessions, including the G20 Finance Ministers and Central Bank Governors meeting, a MENAP meeting with IMF Managing Director Kristalina Georgieva, and a meeting of Arab governors with World Bank President Ajay Banga. Al Hussaini said the UAE aims to safeguard global financial stability, energy security, supply chain stability, and development financing. The UAE also hosted the 2026 UAE Banks Reception in Bangkok and held bilateral talks with counterparts from New Zealand, Switzerland, the Netherlands, and China, as well as the EBRD president.

Nigeria’s Finance Minister Taiwo Oyedele said at the 2026 IMF-World Bank Meetings in Bangkok that the government is aiming for 7 per cent annual growth, well above IMF projections for the next two years. He credited a tax framework rewritten within two years and efforts to cut food, energy and logistics costs as key to lowering inflation and borrowing costs. He argued that bringing inflation down to low single digits could allow single-digit interest rates, noting that prime lending is close to 30 per cent, which weighs on businesses. He also said improved foreign exchange performance has helped the inflation outlook, although food, energy and logistics pressures remain. He defended the “Nigeria Rising” narrative as a way to correct international perceptions that, in the government’s view, do not reflect the country’s progress.

The UAE has concluded its active participation in the 2026 Annual Meetings of the IMF and World Bank Group, held in Bangkok from 12 to 18 October. The Ministry of Finance delegation, led by Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini, joined ministerial sessions, the G20 and IMFC meetings, and bilateral talks with international institutions, including the EBRD. Al Hussaini said the UAE aims to deepen multilateral cooperation and use modern financing tools to support development, stressing energy security, supply chain stability and easing geopolitical tensions. The delegation also hosted the 2026 UAE Banks Reception on the sidelines.

Saudi Central Bank (SAMA) Governor Ayman bin Mohammed Al-Sayari said the Saudi economy remains resilient amid ongoing Middle East conflict, supported by sound policy frameworks, substantial financial reserves and rapid, coordinated institutional response capacity. He said the banking system has strong capital and liquidity levels, backed by proactive prudential policies. Speaking to the International Monetary and Financial Committee at the IMF and World Bank annual meetings in Thailand, he noted that the global economy has shown better-than-expected resilience, though geopolitical conflicts, high uncertainty and debt, and limited policy room persist, and medium-term growth remains weak. He stressed price stability, rebuilding fiscal buffers, maintaining effective investment and targeting support to the neediest households, and welcomed the one-year extension of Saudi Arabia’s chairmanship of the committee. He also highlighted Vision 2030’s role in diversifying the non-oil economy, expanding private-sector participation and developing human capital and infrastructure.

At the IMF and World Bank Annual Meetings in Bangkok, the IMF's latest World Economic Outlook put global growth at 3.1% and global inflation at 4.7%. While an AI boom is lifting technology-exporting economies, developing and climate-vulnerable regions face a double hit from high energy costs and climate disasters, and over 60% of low-income nations are in or near debt distress. Delegates argued for a two-part strategy: fiscal consolidation to service debt while protecting social safety nets, and aggressive investment in digital connectivity so developing economies can share in the tech recovery. Wayne Henry, Chairman and Director General of the Planning Institute of Jamaica, said many developing economies need to catch up on digital connectivity to benefit from technological advances.

Policymakers at the IMF and World Bank Annual Meetings in Bangkok said the global economy’s resilience is no longer enough, as wars, energy and trade disruptions, high public debt and rising borrowing costs overlap. IMF Managing Director Kristalina Georgieva described the outlook as a balance between “optimism and concern” and warned that relying on a single growth engine, such as artificial intelligence investment, leaves economies more vulnerable. Debt-service payments in low-income countries rose from 8 percent to 14 percent of government revenue, and the IMF urged governments to cut deficits, shift from broad cash transfers and subsidies to targeted aid, and protect central bank independence. Rising bond yields in advanced economies are also lifting borrowing costs worldwide. Middle East tensions have pushed up energy and transport costs, straining energy-importing countries with limited fiscal space.

IMF and World Bank meetings in Bangkok offered no new answers for developing countries facing the Middle East war, the war in Ukraine, rising debt payments and a potential AI bubble. The institutions again urged shrinking fiscal deficits and accelerating reforms to attract private investment. IMF chief Kristalina Georgieva said advanced economies were the worst offenders for budget imbalances, and that developing countries' debt-servicing payments had more than doubled over a decade to 14% of government revenue. The World Bank said growth in developing economies had slowed to about 3.6% from 4.4%, while experts urged more inclusive growth. Nearly half the delegates at an IMF steering committee walked out when Russia's finance minister spoke.

The article argues that President Tinubu is building a lasting legacy by combining the strengths of earlier Nigerian leaders with democratic and economic reform. It cites his role in forming the coalition that became the APC, which achieved Nigeria's first federal transfer of power from a governing party to an opposition party, and the Supreme Court's affirmation of the 2023 election result despite legal challenges. It also notes that he congratulated Governor Ademola Adeleke after the opposition Accord Party defeated the APC in Osun's August 2026 election, while acknowledging the controversy over the suspension of Rivers State's elected government. On the economy, the article credits the removal of petrol subsidies, unification of foreign-exchange windows and four 2025 tax laws, as real GDP growth rose from 3.38% in 2024 to 4.43% in Q2 2026. According to the IMF, gross reserves increased from about $40 billion to $46 billion during 2025.

The UAE has concluded its active participation in the 2026 Annual Meetings of the International Monetary Fund (IMF) and World Bank Group (WBG), held in Bangkok from 12 to 18 October. The Ministry of Finance delegation, led by Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini, joined ministerial sessions, plenary meetings including the G20 Finance Ministers and Central Bank Governors Meeting, and bilateral talks with official delegations and international financial institutions, including the EBRD. Al Hussaini said the UAE aims to support global economic resilience through deeper multilateral cooperation, safeguarding financial stability, energy security, supply chains and technological transformation. The UAE also hosted the 2026 UAE Banks Reception in Bangkok to strengthen ties between national banks and their regional and international counterparts.

The UAE has signed an agreement to host the 2029 Annual Meetings of the World Bank Group (WBG) and the International Monetary Fund (IMF) in Abu Dhabi, signed at the close of the 2026 meetings in Bangkok, Thailand. The deal was signed by Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini and Central Bank of the UAE Governor Khaled Mohamed Balama, with WBG President Ajay Banga and IMF Managing Director Kristalina Georgieva signing for the two institutions. UAE officials said the selection reflects international confidence in the country's financial system, infrastructure and ability to host major events. The UAE said it will keep coordinating with both institutions to prepare for the 2029 meetings.

Pakistan is awaiting IMF Executive Board approval for about $1.2 billion in new financing: roughly $1 billion from its $7 billion Extended Fund Facility and $210 million from its $1.4 billion Resilience and Sustainability Facility, which would bring total disbursements under the two to about $5.7 billion. Real GDP grew 4% in the first three quarters of FY2026 (3.6% estimated for the full year), inflation eased to about 10.3% in September from its May peak, and reserves reached around $21 billion at end-September. Still, geopolitical tensions, volatile energy prices and tighter global financial conditions threaten the recovery, and Pakistan remains heavily reliant on external lenders, while the World Bank considers its growth model unsustainable. Pakistan will chair the Boards of Governors of the IMF and World Bank Group in 2027, the first time since 1953, a post with diplomatic weight but no control over lending decisions.

The UAE signed an agreement to host the 2029 Annual Meetings of the World Bank Group and IMF in Abu Dhabi, at the conclusion of the 2026 meetings in Bangkok. The deal was signed by Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini and Central Bank of the UAE Governor Khaled Mohamed Balama, alongside World Bank President Ajay Banga and IMF Managing Director Kristalina Georgieva. Officials said the selection reflects international confidence in the UAE's financial system, infrastructure and ability to host major events, and will help promote financial stability, digital finance and sustainable development. The UAE pledged to coordinate with both institutions to prepare the facilities needed for the event.

At the IMF and World Bank annual meetings in Bangkok, IMF Managing Director Kristalina Georgieva warned that AI-boosted cybercrime could undermine trust in the financial system, citing hackers who pushed French supermarket fridges to 50C and spoiled food. She worried that many people could end up keeping cash in shoeboxes under their beds. JPMorgan CEO Jamie Dimon said the bank would not allow AI agents to operate on customers' behalf, while agents that move deposits to chase the highest savings rates could trigger rapid withdrawals and raise unresolved questions about liability. Bank of England Governor Andrew Bailey said, “If we don't have trust in money, we don't operate as a society.” The column says financial policymakers are alarmed by the collision between fast-moving AI and a financial system that now extends well beyond heavily regulated banks.

The UAE has signed an agreement to host the 2029 Annual Meetings of the World Bank Group and the IMF in Abu Dhabi, at the close of the 2026 meetings in Bangkok. The deal was signed by Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini and Central Bank of the UAE Governor Khaled Mohamed Balama, with World Bank President Ajay Banga and IMF Managing Director Kristalina Georgieva also signing. UAE officials said the selection reflects international confidence in the country's financial system and infrastructure, and reinforces its role as a global financial hub. The UAE pledged to coordinate with both institutions to prepare the event, which it says will focus on financial stability, development finance and digital innovation.

IMF and World Bank meetings from October 12 to 18 offered no new answers for developing countries facing a spreading Middle East war, the war in Ukraine, rising debt payments and a potential AI bubble. IMF Managing Director Kristalina Georgieva said advanced economies were the worst offenders on budget imbalances, while average debt service in developing countries had more than doubled over a decade to 14% of government revenue. Several experts said the meetings lacked concrete guidance, and fiscal risks in advanced economies complicated support for developing nations. World Bank Deputy Chief Economist Ayhan Kose said growth in developing countries had slowed from 4.4% to about 3.6%, and the Bank is mobilising private capital, now three times 2022 levels, to help countries prepare for AI.

The UAE has signed an agreement to host the 2029 Annual Meetings of the World Bank Group and the IMF in Abu Dhabi, signed at the close of the 2026 Annual Meetings in Bangkok, Thailand. Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini and Central Bank of the UAE Governor Khaled Mohamed Balama signed for the UAE, while WBG President Ajay Banga and IMF Managing Director Kristalina Georgieva signed for the institutions. UAE officials said the selection reflects international confidence in the country's financial system, infrastructure and ability to host major events, and reinforces its role as a global financial hub. They pledged to coordinate with both institutions so the meetings deliver substantive outcomes on development finance, financial stability and digital innovation.

The UAE has signed an agreement to host the 2029 Annual Meetings of the World Bank Group and the International Monetary Fund in Abu Dhabi, concluding the 2026 meetings in Bangkok. Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini and Central Bank of the UAE Governor Khaled Mohamed Balama signed for the UAE, while World Bank Group President Ajay Banga and IMF Managing Director Kristalina Georgieva signed for the two institutions. Emirati officials said the selection reflects international confidence in the UAE's financial system, infrastructure and ability to host major events, and that the UAE will work with both institutions to prepare the meetings. The Central Bank said it will bring its expertise in financial stability, financial infrastructure and digital financial services to the global agenda.

The IMF's latest forecasts show the global economy holding up better than feared despite the Iran war, higher interest rates and an AI-driven investment boom. Global growth is projected to rise to 3.4% in 2027 from an estimated 3.1% this year, with the US doing somewhat better than forecast and China unchanged at 4%. The article warns of risks including high energy prices, extreme weather, excess spending on data-centre technology and budgets in several advanced economies that are close to exhaustion, with France facing dimmer prospects amid a bond selloff. It argues that the burden of responding to any future downturn will ultimately fall on central banks, and quotes Singapore President Tharman Shanmugaratnam, who said the bond market pressure gives leaders a chance to put their finances in order.