Currently, the US economy is facing the risk of recession. Moreover, this problem is extremely significant as even minor economic shocks can cause another global financial crisis.
IMF Managing Director Kristalina Georgieva assessed the prospects of the US economy and said that it would slow down in 2023. However, the US economy would avoid recession. "Based on the policy path outlined at the June FOMC meeting, and an expected reduction in the fiscal deficit, we expect the US economy will slow. We are conscious that there is a narrowing path to avoiding a recession in the US. We also have to recognize the uncertainty of the current situation," Georgieva noted.
Analysts at the IMF forecast a decline in real GDP growth to 1.7% and 0.8% in 2023-2024 from 2.9% projected for 2022. However, economists believe the figures will increase to 1.7% and 2.1% respectively in 2025 and 2026. Inflation will total 5.4% in 2022. Moreover, it will reach 2% in 2023 and will fall to 1.8% in 2023.
