The US Federal Reserve System (FRS), the European Central Bank (ECB) and the Bank of England allowed another significant increase next year. This could accelerate the transition of the global economy into recession, informs Bloomberg.
“Increased risk, further tightening of monetary policy <….> The material will undermine demand and employment so much that it will lead to a recession in the global economy next year – the fastest since the contraction caused by the pandemic,” the material says.
At the same time, the Bank of England claims that the UK economy has already entered a recession phase. At the same time, the ECB believes that European Union (EU) countries will face a slowdown in production growth in the current quarter. The article states that the crisis did not bypass the USA either.
The note concludes, “Although Powell (Jerome, Chairman of the Federal Reserve – socialbites.ca) stayed away from the recession statement, two of his colleagues pointed to a decline in gross domestic product next year in their forecasts.”
December 17 Ksenia Yudaeva, First Deputy Governor of the Central Bank (CB) statedHe said a sharp increase in the production of goods and services could have negative consequences for the Russian economy, including a rapid recession. For this reason, it would be more correct to ensure that the country’s production develops more smoothly in the long run.