The head of the International Monetary Fund (IMF) has said that the war in Ukraine has darkened the outlook for the global economy and could result in recession for more vulnerable countries.

World Economic Forum: Leaders warn of possible recession at the Davos meet

The managing director of the International Monetary Fund says a global recession isn’t in the cards but it doesn’t mean it’s out of the question. WION's Business Editor Sumit Chaturvedi brings you more update from the meeting.

World Economic Forum: IMF chief Kristalina Georgieva says global recession not expected

The International Monetary Fund has warned against “geo economic fragmentation” as policymakers and business leaders gather at the World Economic Forum in Davos, Switzerland.

Davos World Economic Forum: Global economy faces its biggest test since World War 2, says IMF Chief

Varied number of topics are being discussed at the WEF summit in Davos but is anyone suggesting any solution to these problems? WION's business editor Sumit Chaturvedi brings us all the exclusive ground report.

IMF: Economic horizon has darkened, some nations may face recession | WEF Davos Summit

Pakistan’s new Foreign Minister Bilawal Bhutto and his Chinese counterpart Wang Yi's meeting was held in Guangzhou city. Bilawal Bhutto discussed economic coordination, China-Pakistan Economic Corridor (CPEC) with Wang Yi on Sunday.

Pak FM Bilawal Bhutto hold talks with his Chinese counterpart Wang Yi

In addition to a worsening political crisis, Pakistan is also battling with a brewing financial crisis. The Pakistani rupee plunged deeper against the US dollar this week.

Pakistan reels under economic crisis, talks with IMF continues

Pakistani government could withdraw subsidies on petroleum products as Pak reeling under economic crisis. Meanwhile, talks between IMF and Pakistan are scheduled to continue till May 24th.

Pakistan-IMF Talks in Doha: Pak rupee plunges to new all-time low

Ghana is on the brink of an economic crisis. In 2021, the country recorded a total public debt of around 77% of its GDP, despite this Finance Minister said that Ghana was committed to managing its debt without taking assistance from the international Monetary Fund.

IMF not an option, Ghana FM confident to manage debt without help

A spike in commodity costs and slowdown in China has created significant uncertainty around the world and as a result Asian region are facing a 'stagflationary' risks. While Asia's trade and financial exposures to Russia and Ukraine are limited, the warning released by senior partners said region's economies will be affected by the crisis through higher commodity prices.

IMF warns of 'stagflationary' risks in Asia

Cash-strapped Pakistan and the International Monetary Fund have now agreed in principle to extend a stalled bailout program that will now increase an existing loan size from six billion dollars to eight billion dollars.

Pakistan: IMF extends stalled bailout package, loan size increased by $2 billion

Cash-strapped Pakistan and the International Monetary Fund have now agreed in principle to extend a stalled bailout program that will now increase an existing loan size from six billion dollars to eight billion dollars. Pakistan's Finance Minister speaks to WION on more on this.

Watch: Pakistan's Finance Minister on WION as IMF extends bailout package for Pakistan

Cash-strapped Pakistan and the International Monetary Fund have now agreed in principle to extend a stalled bailout program that will now increase an existing loan size from six billion dollars to eight billion dollars. WION's Anas Mallick brings in more on this.

IMF agrees to extend stalled bailout package for cash-strapped Pakistan

Even after the revamp of entire cabinet, Sri Lanka's economic crisis don't seem to get any better. Country's top delegation has flown to Washington, DC for a meet with IMF officials. The discussions covered recent economic and financial developments in Sri Lanka

Sri Lanka Economic crisis: Sri Lankan delegation meets with IMF officials in Washington, DC

The International Monetary Fund said on Saturday it held "fruitful technical discussions" with Sri Lanka on its loan request, while the World Bank said it was preparing an emergency aid package for the crisis-stricken country.

Sri Lanka, an island country of 22 million people, is struggling to pay for imports amid a crushing debt crisis and sharp drop in foreign exchange reserves that has fueled soaring inflation. Prolonged power cuts and shortages of fuel, food and medicines have sparked nationwide protests.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/sri-lankan-minister-godahewa-backs-demonstrators-asking-pm-mahinda-rajapaksa-to-step-down-473195" hreflang="en">Sri Lankan minister Godahewa changes camp, backs protests to seek PM's resignation</a>

Sri Lankan Finance Minister Ali Sabry has been in Washington this week talking to the IMF, the World Bank, India and others about financing help for his country, which has suspended payments on portions of its $51 billion in external debt.

The World Bank's emergency response package includes $10 million to be made immediately available for the purchase of essential medicines, funds shifted from its ongoing COVID-19 health preparedness project, a World Bank spokesperson said.

The global lender, which along with the IMF held its spring meetings this week, did not provide a total value for its package, but Sabry said on Friday that about $500 million in aid was being considered.

The World Bank spokesperson said the package would leverage existing bank-financed projects and repurpose funds to quickly provide medicines, meals for school children and cash transfers for poor and vulnerable households.

Support to provide cooking gas, basic food supplies, seeds and fertilizers and other essentials is also under discussion, the spokesperson said, adding that the World Bank was "deeply concerned" about the situation in Sri Lanka.

Watch |&nbsp;Sri Lankan Minister resigns two days after appointment amid the ongoing crisis

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/sri-lankan-minister-resigns-two-days-after-appointment-amid-the-ongoing-crisis-473294/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

The IMF said in a statement on Saturday that talks between its staff focused on the need for Sri Lanka to implement "a credible and coherent strategy" to restore macroeconomic stability, and to strengthen its social safety net and protect the poor and vulnerable during the current crisis.

"The IMF team welcomed the authorities' plan to engage in a collaborative dialogue with their creditors," IMF Sri Lanka mission chief Masahiro Nozaki said in a statement after the country took steps to explore a restructuring of some $12 billion in sovereign bonds

Sabry told reporters on Friday that the talks with the IMF were focused on a more traditional Extended Fund Facility program, but that $3 billion to $4 billion in bridge financing was needed while this could be finalized.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/debt-ridden-sri-lankas-inflation-soared-to-a-record-high-473058" hreflang="en">Debt-ridden Sri Lanka's inflation soared to a record high</a>

The IMF has said that Sri Lanka's debt needs to be put on a sustainable path before it could make new loans to Colombo - a process that could require lengthy negotiations with China and the country's other creditors.

Sabry said on Friday that in addition to the IMF loan and World Bank assistance, Sri Lanka is discussing with India some $1.5 billion in bridge financing to help continue essential imports, and added that he has also approached China, Japan and the Asian Development Bank for help.

The International Monetary Fund said on Saturday it held "fruitful technical discussions" with Sri Lanka on its loan request, while the World Bank said it was preparing an emergency aid package for the crisis-stricken country.

The International Monetary Fund said on Saturday it held "fruitful technical discussions" with Sri Lanka on its loan request, while the World Bank said it was preparing an emergency aid package for the crisis-stricken country. Sri Lanka, an island country of 22 million people, is struggling to pay for imports amid a crushing debt crisis and sharp drop in foreign exchange reserves that has fueled soaring inflation. Prolonged power cuts and shortages of fuel, food and medicines have sparked nationwide protests. Also read | Sri Lankan minister Godahewa changes camp, backs protests to seek PM's resignation Sri Lankan Finance Minister Ali Sabry has been in Washington this week talking to the IMF, the World Bank, India and others about financing help for his country, which has suspended payments on portions of its $51 billion in external debt. The World Bank's emergency response package includes $10 million to be made immediately available for the purchase of essential medicines, funds shifted from its ongoing COVID-19 health preparedness project, a World Bank spokesperson said. The global lender, which along with the IMF held its spring meetings this week, did not provide a total value for its package, but Sabry said on Friday that about $500 million in aid was being considered. The World Bank spokesperson said the package would leverage existing bank-financed projects and repurpose funds to quickly provide medicines, meals for school children and cash transfers for poor and vulnerable households. Support to provide cooking gas, basic food supplies, seeds and fertilizers and other essentials is also under discussion, the spokesperson said, adding that the World Bank was "deeply concerned" about the situation in Sri Lanka. Watch | Sri Lankan Minister resigns two days after appointment amid the ongoing crisis The IMF said in a statement on Saturday that talks between its staff focused on the need for Sri Lanka to implement "a credible and coherent strategy" to restore macroeconomic stability, and to strengthen its social safety net and protect the poor and vulnerable during the current crisis. "The IMF team welcomed the authorities' plan to engage in a collaborative dialogue with their creditors," IMF Sri Lanka mission chief Masahiro Nozaki said in a statement after the country took steps to explore a restructuring of some $12 billion in sovereign bonds Sabry told reporters on Friday that the talks with the IMF were focused on a more traditional Extended Fund Facility program, but that $3 billion to $4 billion in bridge financing was needed while this could be finalized. Also read | Debt-ridden Sri Lanka's inflation soared to a record high The IMF has said that Sri Lanka's debt needs to be put on a sustainable path before it could make new loans to Colombo - a process that could require lengthy negotiations with China and the country's other creditors. Sabry said on Friday that in addition to the IMF loan and World Bank assistance, Sri Lanka is discussing with India some $1.5 billion in bridge financing to help continue essential imports, and added that he has also approached China, Japan and the Asian Development Bank for help.

Sri Lanka economic crisis: IMF holds 'fruitful' loan discussions with Colombo, World Bank readies aid package

The international monetary fund is facing a backlash as protesters gather outside its headquarters in Washington. IMF's approval for setting up the resilience and sustainability trust has come under the scanner now and the activists dressed up as animals protested the IMF's move.

Protesters seek attention on threat to biodiversity, activists gather outside IMF HQ

The International Monetary Fund (IMF) on Tuesday slashed India's gross domestic product (GDP) forecast by 80 percentage points to 8.2 per cent for financial year 2022-23.

IMF slashes India's GDP forecast to 8.2% in 2022-23

The South Asia's debt-ridden nation of Sri Lanka has turned to the International Monetary Fund for a bailout package. Finance Minister Ali Sabry will be heading to Washington later today to hold talks with the global monetary body.

Sri Lanka seeks $4 billion bailout from IMF amid economic crunch

In a bid to resolve the crisis, Sri Lanka's central bank is expediting the debt restructuring process the organization will also seek financial assistance from the International Monetary Fund, the country is nearly seven billion dollars in foreign debt obligations for this year alone.

Sri Lanka to seek US$ 3 billion to stave off economic crisis, readies for negotiations with IMF

The Rajapaksa Government faces biggest street protest in Colombo against the economic and political crisis in Sri Lanka. In a bid to resolve the crisis, country's central bank is expediting the debt restructuring process, the organization will also seek financial assistance from the IMF

Dire economic and political crisis grip Sri Lanka, country readies to negotiate with IMF

Pradhan Mantri Garib Kalyan Yojana (PMGKAY), which provides free foodgrains to poor people, played a key role in keeping extreme poverty in India at the lowest level of 0.8 per cent during the pandemic-hit 2020, according to a working paper of the International Monetary Fund (IMF).

The working paper titled 'Pandemic, Poverty, and Inequality: Evidence from India' presents estimates of poverty and consumption inequality in India for each of the years 2004-5 through the pandemic year 2020-21.

"Extreme poverty was as low as 0.8 per cent in the pre-pandemic year 2019, and food transfers were instrumental in ensuring that it remained at that low level in the pandemic year 2020," it said.

Under PMGKAY, which was launched in March 2020, the central government provides 5 kilograms of foodgrains per month for free. The additional free grain is over and above the normal quota provided under the National Food Security Act (NFSA) at a highly subsidised rate of Rs 2-3 per kilogram. PMGKAY has been extended till September 2022.

The working paper, prepared by Surjit S Bhalla, Karan Bhasin and Arvind Virmani, said that in the pandemic year 2020-21, extreme poverty was at its lowest level ever at 0.8 per cent of the population.

"Further, as early as 2016-17, extreme poverty had reached a low 2 per cent level. According to the more appropriate but 68 per cent higher Low Middle Income (LMI) poverty line of PPP (purchasing power parity) USD 3.2 a day, poverty in India registered 14.8 per cent in the pre-pandemic year 2019-20.

"This achievement is put in perspective by noting that in 2011-12, the official poverty level for the lower PPP USD 1.9 line was 12.2 per cent," it noted.

The working paper also said that for the first time in several decades, extreme poverty -- those falling below the USD 1.9 per person per day in terms of purchasing power parity -- in the world increased in the pandemic year 2020.

As per the working paper, the pandemic support measures instituted by the government were critical in preventing any increase in the prevalence of extreme poverty and that food subsidies have reduced poverty on a consistent basis since the enactment of the FSA in 2013 and the co-incidental increase in the efficiency of targeting via Aadhaar.

Further, it said the effect of the subsidy adjustments on poverty is striking.

"Real inequality, as measured by the Gini coefficient, has declined to near its lowest level reached in the last forty years - it was 0.284 in 1993-94 and in 2020-21 it reached 0.292.

"Possibly the more surprising result from the incorporation of food subsidies into the calculation of poverty is that extreme poverty has stayed below (or equal to) 1 per cent for the last three years," it said.

Post-food subsidy inequality at 0.294 is now very close to its lowest level of 0.284 observed in 1993-94, the working paper said, adding that in 2020, for the first time since the inception of the PDS system, the government was supplying, in full, the basic food ration needed to the bottom two-thirds of the population.

The food support (rations) was increased during the pandemic - the food grain ration was doubled for each recipient from 5 kg of wheat (or rice) per month to 10 kilograms in 2020, it added.

The author of the paper noted that an important implication of their results is that extreme poverty has been virtually eliminated, and both the government of India and the World Bank should formally switch to the LMI country poverty line of USD 3.2 PPP.

They also observed that the social safety net provided by the expansion of India's food subsidy programme absorbed a major part of the pandemic shock.&nbsp;

Pradhan Mantri Garib Kalyan Yojana (PMGKAY), which provides free foodgrains to poor people, played a key role in keeping extreme poverty in India at the lowest level of 0.

Pradhan Mantri Garib Kalyan Yojana (PMGKAY), which provides free foodgrains to poor people, played a key role in keeping extreme poverty in India at the lowest level of 0.8 per cent during the pandemic-hit 2020, according to a working paper of the International Monetary Fund (IMF). The working paper titled 'Pandemic, Poverty, and Inequality: Evidence from India' presents estimates of poverty and consumption inequality in India for each of the years 2004-5 through the pandemic year 2020-21. "Extreme poverty was as low as 0.8 per cent in the pre-pandemic year 2019, and food transfers were instrumental in ensuring that it remained at that low level in the pandemic year 2020," it said. Under PMGKAY, which was launched in March 2020, the central government provides 5 kilograms of foodgrains per month for free. The additional free grain is over and above the normal quota provided under the National Food Security Act (NFSA) at a highly subsidised rate of Rs 2-3 per kilogram. PMGKAY has been extended till September 2022. The working paper, prepared by Surjit S Bhalla, Karan Bhasin and Arvind Virmani, said that in the pandemic year 2020-21, extreme poverty was at its lowest level ever at 0.8 per cent of the population. "Further, as early as 2016-17, extreme poverty had reached a low 2 per cent level. According to the more appropriate but 68 per cent higher Low Middle Income (LMI) poverty line of PPP (purchasing power parity) USD 3.2 a day, poverty in India registered 14.8 per cent in the pre-pandemic year 2019-20. "This achievement is put in perspective by noting that in 2011-12, the official poverty level for the lower PPP USD 1.9 line was 12.2 per cent," it noted. The working paper also said that for the first time in several decades, extreme poverty -- those falling below the USD 1.9 per person per day in terms of purchasing power parity -- in the world increased in the pandemic year 2020. As per the working paper, the pandemic support measures instituted by the government were critical in preventing any increase in the prevalence of extreme poverty and that food subsidies have reduced poverty on a consistent basis since the enactment of the FSA in 2013 and the co-incidental increase in the efficiency of targeting via Aadhaar. Further, it said the effect of the subsidy adjustments on poverty is striking. "Real inequality, as measured by the Gini coefficient, has declined to near its lowest level reached in the last forty years - it was 0.284 in 1993-94 and in 2020-21 it reached 0.292. "Possibly the more surprising result from the incorporation of food subsidies into the calculation of poverty is that extreme poverty has stayed below (or equal to) 1 per cent for the last three years," it said. Post-food subsidy inequality at 0.294 is now very close to its lowest level of 0.284 observed in 1993-94, the working paper said, adding that in 2020, for the first time since the inception of the PDS system, the government was supplying, in full, the basic food ration needed to the bottom two-thirds of the population. The food support (rations) was increased during the pandemic - the food grain ration was doubled for each recipient from 5 kg of wheat (or rice) per month to 10 kilograms in 2020, it added. The author of the paper noted that an important implication of their results is that extreme poverty has been virtually eliminated, and both the government of India and the World Bank should formally switch to the LMI country poverty line of USD 3.2 PPP. They also observed that the social safety net provided by the expansion of India's food subsidy programme absorbed a major part of the pandemic shock.

India's food subsidy programme kept extreme poverty low in pandemic-hit 2020: IMF working paper

Pakistan's economic challenges have multiplied after IMF's $6 Billion bailout to Pakistan were put on hold. IMF now says that it will engage with the new government.

Pakistan's economic challenges multiply: IMF's $6 Billion bailout to Pakistan on hold

According to an IMF report, climate-related disasters are on the rise in West Asia posing a major threat to growth and prosperity. West Asian Countries wake up to reality of climate change, hold Climate Summits

West Asia's upcoming Climate Crisis: Countries wake up to reality of climate change

According to an IMF report, climate-related disasters are on the rise in West Asia posing a major threat to growth and prosperity in the region.

Climate-related disasters on the rise in West Asia

Argentina's&nbsp;Senate&nbsp;on Thursday gave final approval to an agreement with the International Monetary Fund that restructures a $45&nbsp;billion&nbsp;debt, clearing the country's short-term financial horizon but leaving a serious inflationary challenge.

The late-night vote greenlights the new credit program ironed out between&nbsp;Argentine&nbsp;officials and&nbsp;IMF&nbsp;staff as they sought to finalize the&nbsp;debt, the legacy of a record loan contracted in 2018 under former president Mauricio Macri.

Outside the&nbsp;Senate, several hundred people demonstrated, called by unions and leftist movements to oppose the restructuring.

Also read |&nbsp;<a href="https://www.wionews.com/world/after-pakistan-china-to-build-nuclear-power-plant-in-argentina-453096">After Pakistan, China to build nuclear power plant in Argentina</a>

Last week, the agreement won the approval of the&nbsp;Chamber of Deputies&nbsp;with a broad consensus between the center-left ruling coalition and the center-right opposition, a rarity in&nbsp;Argentina.

Faced with the spectre of a ruinous payment default if the agreement was not approved, the&nbsp;Senate&nbsp;greenlit it by a vote of 56 to 13, with three abstentions.

"It is the responsibility of our government to build certainty in a context of uncertainty," Economic Minister Martin Guzman, the&nbsp;deal's chief architect, said in defending the package before senators.

The agreement provides for a series of macroeconomic measures to control the country's chronic inflation (50.9 percent in 2021) and reduce its budget deficit of three percent of GDP last year until it is balanced in 2025.&nbsp;

Under the agreement, which must also be ratified by the&nbsp;IMF&nbsp;board of directors before it comes into force, the fund will monitor&nbsp;Argentina's progress regularly.

In 2018, under the government of center-right Macri, the&nbsp;IMF&nbsp;approved its biggest-ever loan of $57&nbsp;billion&nbsp;to&nbsp;Argentina. The country received $44&nbsp;billion&nbsp;of that amount.

Macri's successor, Alberto Fernandez, refused to accept the rest and sought to renegotiate repayment terms.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/world/britain-lambasts-china-for-supporting-argentinas-falklands-islands-claim-451290">Britain lambasts China for supporting Argentina's Falklands Islands claim</a>

Payments of $19&nbsp;billion&nbsp;and $20&nbsp;billion&nbsp;were due this year -- a timeline the government considered impossible.

Argentina&nbsp;is just emerging from three years of economic recession and battling rising inflation and a high poverty rate.

The country recorded a 4.7 percent jump in its consumer price index in February compared to January, with a 7.5 percent rise in the cost of food.

Under the new&nbsp;deal&nbsp;-- the 13th that Buenos Aires has signed with the&nbsp;IMF&nbsp;since the return of democracy in 1983 -- repayments will be made from 2026 to 2034 after a grace period.

Argentina&nbsp;has committed to reducing its fiscal deficit from 3.0 percent of GDP today to 0.9 percent by 2024.

IMF&nbsp;spokesman Gerry Rice said the aim of the&nbsp;deal&nbsp;was to "reduce persistently high inflation" but warned of the challenges faced by the global economy following Russia's invasion of Ukraine.&nbsp;

The&nbsp;parliament&nbsp;building was fenced off ahead of the&nbsp;Senate&nbsp;vote last week, following protests when the lower house approved the bill, with some demonstrators burning rubbish and throwing stones towards the building entrance.

A police officer was struck by a Molotov cocktail and some windows were hit with stones, including those at the offices of the&nbsp;Senate&nbsp;president and Vice President Cristina Kirchner.

&nbsp;

Argentina's Senate on Thursday gave final approval to an agreement with the International Monetary Fund that restructures a $45 billion debt, clearing the country's short-term financial horizon but leaving a serious inflationary challenge.

Argentina's Senate on Thursday gave final approval to an agreement with the International Monetary Fund that restructures a $45 billion debt, clearing the country's short-term financial horizon but leaving a serious inflationary challenge. The late-night vote greenlights the new credit program ironed out between Argentine officials and IMF staff as they sought to finalize the debt, the legacy of a record loan contracted in 2018 under former president Mauricio Macri. Outside the Senate, several hundred people demonstrated, called by unions and leftist movements to oppose the restructuring. Also read | After Pakistan, China to build nuclear power plant in Argentina Last week, the agreement won the approval of the Chamber of Deputies with a broad consensus between the center-left ruling coalition and the center-right opposition, a rarity in Argentina. Faced with the spectre of a ruinous payment default if the agreement was not approved, the Senate greenlit it by a vote of 56 to 13, with three abstentions. "It is the responsibility of our government to build certainty in a context of uncertainty," Economic Minister Martin Guzman, the deal's chief architect, said in defending the package before senators. The agreement provides for a series of macroeconomic measures to control the country's chronic inflation (50.9 percent in 2021) and reduce its budget deficit of three percent of GDP last year until it is balanced in 2025. Under the agreement, which must also be ratified by the IMF board of directors before it comes into force, the fund will monitor Argentina's progress regularly. In 2018, under the government of center-right Macri, the IMF approved its biggest-ever loan of $57 billion to Argentina. The country received $44 billion of that amount. Macri's successor, Alberto Fernandez, refused to accept the rest and sought to renegotiate repayment terms. Also read | Britain lambasts China for supporting Argentina's Falklands Islands claim Payments of $19 billion and $20 billion were due this year -- a timeline the government considered impossible. Argentina is just emerging from three years of economic recession and battling rising inflation and a high poverty rate. The country recorded a 4.7 percent jump in its consumer price index in February compared to January, with a 7.5 percent rise in the cost of food. Under the new deal -- the 13th that Buenos Aires has signed with the IMF since the return of democracy in 1983 -- repayments will be made from 2026 to 2034 after a grace period. Argentina has committed to reducing its fiscal deficit from 3.0 percent of GDP today to 0.9 percent by 2024. IMF spokesman Gerry Rice said the aim of the deal was to "reduce persistently high inflation" but warned of the challenges faced by the global economy following Russia's invasion of Ukraine. The parliament building was fenced off ahead of the Senate vote last week, following protests when the lower house approved the bill, with some demonstrators burning rubbish and throwing stones towards the building entrance. A police officer was struck by a Molotov cocktail and some windows were hit with stones, including those at the offices of the Senate president and Vice President Cristina Kirchner.

Argentina parliament approves IMF deal to restructure $45 billion debt

Sri Lanka will seek International Monetary Fund (IMF) bailout, said President Gotabaya Rajapaksa. The country is facing forex shortages for basic imports as printed money has pushed up domestic demand and made it difficult to repay debt.

Sri Lanka seeks IMF bailout amid rising fuel shortages, public anger

Cash-strapped Sri Lanka seeks IMF bailout

Amid the ongoing Russian invasion of Ukraine, the International Monetary Fund said that the Russian default is no longer 'improbable'.

IMF: Russian default no longer 'improbable', sanctions would also have spillover effects

An&nbsp;IMF&nbsp;delegation was in&nbsp;Sri&nbsp;Lanka&nbsp;Monday for talks on the island's&nbsp;worsening&nbsp;economic&nbsp;crisis, with the public suffering through months of food, fuel and medicine shortages.

A lack of foreign currency has left traders unable to pay for vital imports in what authorities concede is the South Asian nation's worst financial&nbsp;crisis&nbsp;since independence from Britain in 1948.

Long queues outside gas stations and rolling blackouts have become the norm, while record inflation has caused serious hardship among the island's 22 million people by repeatedly pushing up the cost of groceries, transport and pharmaceuticals.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/nepal-pm-deuba-to-visit-sri-lanka-for-bimstec-summit-461926">Nepal PM Deuba to visit Sri Lanka for BIMSTEC summit</a>

A senior staffer from the International Monetary Fund "will hold talks" with President Gotabaya Rajapaksa and his brother, finance minister Basil Rajapaksa, a spokesman for the leader told&nbsp;AFP.&nbsp;

Sri&nbsp;Lanka's government is divided on seeking a bailout, but the international lender said it was "ready to&nbsp;discuss&nbsp;options if requested" in a Monday statement.&nbsp;

The&nbsp;IMF&nbsp;warned earlier this month that the country's $51 billion foreign debt was "unsustainable", and called for a currency devaluation and higher taxes to revive its almost bankrupt economy.

Sri&nbsp;Lanka&nbsp;last week allowed the rupee to float, a move that saw the currency nosedive 25 percent against the dollar and triggered a fresh wave of price increases.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/sri-lankas-central-bank-assures-countrys-currency-to-stabilize-soon-461651">Sri Lanka's central bank assures country's currency to stabilise soon</a>

Fuel costs have risen by nearly 80 percent since early February while food prices rose by a quarter according to January figures.&nbsp;

The coronavirus pandemic hammered the South Asian island's tourism sector -- a key foreign exchange earner.

Sri&nbsp;Lanka&nbsp;needs nearly $7 billion to service its foreign debt this year, but the country's external reserves at the end of January were just over $2 billion -- enough to finance one month of imports.

Watch |&nbsp;Sri Lanka's deepening economic crisis: Fuel prices touch record high

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/sri-lankas-deepening-economic-crisis-fuel-prices-touch-record-high-461509/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

International ratings agencies have downgraded&nbsp;Sri&nbsp;Lanka&nbsp;over expectations it may not be able to repay its borrowings, though the government insists it will.

An IMF delegation was in Sri Lanka Monday for talks on the island's worsening economic crisis, with the public suffering through months of food, fuel and medicine shortages.

An IMF delegation was in Sri Lanka Monday for talks on the island's worsening economic crisis, with the public suffering through months of food, fuel and medicine shortages. A lack of foreign currency has left traders unable to pay for vital imports in what authorities concede is the South Asian nation's worst financial crisis since independence from Britain in 1948. Long queues outside gas stations and rolling blackouts have become the norm, while record inflation has caused serious hardship among the island's 22 million people by repeatedly pushing up the cost of groceries, transport and pharmaceuticals. Also read | Nepal PM Deuba to visit Sri Lanka for BIMSTEC summit A senior staffer from the International Monetary Fund "will hold talks" with President Gotabaya Rajapaksa and his brother, finance minister Basil Rajapaksa, a spokesman for the leader told AFP. Sri Lanka's government is divided on seeking a bailout, but the international lender said it was "ready to discuss options if requested" in a Monday statement. The IMF warned earlier this month that the country's $51 billion foreign debt was "unsustainable", and called for a currency devaluation and higher taxes to revive its almost bankrupt economy. Sri Lanka last week allowed the rupee to float, a move that saw the currency nosedive 25 percent against the dollar and triggered a fresh wave of price increases. Also read | Sri Lanka's central bank assures country's currency to stabilise soon Fuel costs have risen by nearly 80 percent since early February while food prices rose by a quarter according to January figures. The coronavirus pandemic hammered the South Asian island's tourism sector -- a key foreign exchange earner. Sri Lanka needs nearly $7 billion to service its foreign debt this year, but the country's external reserves at the end of January were just over $2 billion -- enough to finance one month of imports. Watch | Sri Lanka's deepening economic crisis: Fuel prices touch record high International ratings agencies have downgraded Sri Lanka over expectations it may not be able to repay its borrowings, though the government insists it will.

IMF in Sri Lanka to discuss worsening economic crisis

Ongoing talks between Pakistan and the International Monitory Fund (IMF) have so far remained inconclusive due to "deviations" from agreed terms, media reports said on Saturday.

This uncertainty remains as Pakistan's precarious financial condition under the Imran Khan government continues. The two sides have failed to reach a consensus amid the country's budget deficit and current account deficit.

Last month, Pakistan's former finance minister and well-known economist Dr Hafeez A Pasha disclosed that the current account deficit was heading towards a historic record by touching the USD 20 billion mark or 6 per cent of Gross Domestic Product (GDP) for the current fiscal year.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/to-counter-indias-rafale-pak-inducts-chinese-j-10c-fighter-jets-into-air-force-461538">To counter India’s Rafale, Pak inducts Chinese J-10C fighter jets into air force</a>

Pasha said the international prices of various commodities were witnessing skyrocketing trends and now the Current Account Deficit (CAD) would witness more pressure with the possibility of touching a historic high. "For God's sake, the political parties must shun their differences because the country is heading towards a serious financial crisis," he had appealed.

Amidst such downward trends, Imran Khan is announcing one economic package after another. On March 2, he launched an interest-free loan programme worth Pakistani Rupee (PKR ) 407 billion under the "Kamyab Pakistan Programme", which he claimed would contribute to making the country's low-income groups self-reliant.

Also read |&nbsp;<a href="https://www.wionews.com/south-asia/pakistans-interior-minister-apologises-after-police-conduct-raid-at-north-korean-embassy-461240">Pakistan's interior minister apologises after police conduct raid at North Korean embassy</a>

The News International reported that the IMF has raised serious objections over Imran Khan's Relief Package for slashing down petrol, diesel, and electricity prices as well as granting tax amnesty for the industrial sector.

According to the newspaper, the IMF had imposed the condition that Pakistan will not grant any tax amnesty and it is part of a continuous structural benchmark. Despite these conditions, the Imran Khan government breached this continuous structural benchmark which now requires a waiver from the IMF's Executive Board for completion of the 7th review, the report added.

Watch |&nbsp;Gravitas: North Korea is upset with Pakistan: Here's Why

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/gravitas-north-korea-is-upset-with-pakistan-heres-why-461455/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

Against this backdrop, the global lending body has asked Islamabad to jack up the discount rate, allow free movement of the exchange rate, slash down Kamyab Pakistan Program (KPP) and reverse relief package measures.

The review talks between IMF and Pakistan are expected to conclude on Wednesday.&nbsp;

Ongoing talks between Pakistan and the International Monitory Fund (IMF) have so far remained inconclusive due to "deviations" from agreed terms, media reports said on Saturday.

Ongoing talks between Pakistan and the International Monitory Fund (IMF) have so far remained inconclusive due to "deviations" from agreed terms, media reports said on Saturday. This uncertainty remains as Pakistan's precarious financial condition under the Imran Khan government continues. The two sides have failed to reach a consensus amid the country's budget deficit and current account deficit. Last month, Pakistan's former finance minister and well-known economist Dr Hafeez A Pasha disclosed that the current account deficit was heading towards a historic record by touching the USD 20 billion mark or 6 per cent of Gross Domestic Product (GDP) for the current fiscal year. Also read | To counter India’s Rafale, Pak inducts Chinese J-10C fighter jets into air force Pasha said the international prices of various commodities were witnessing skyrocketing trends and now the Current Account Deficit (CAD) would witness more pressure with the possibility of touching a historic high. "For God's sake, the political parties must shun their differences because the country is heading towards a serious financial crisis," he had appealed. Amidst such downward trends, Imran Khan is announcing one economic package after another. On March 2, he launched an interest-free loan programme worth Pakistani Rupee (PKR ) 407 billion under the "Kamyab Pakistan Programme", which he claimed would contribute to making the country's low-income groups self-reliant. Also read | Pakistan's interior minister apologises after police conduct raid at North Korean embassy The News International reported that the IMF has raised serious objections over Imran Khan's Relief Package for slashing down petrol, diesel, and electricity prices as well as granting tax amnesty for the industrial sector. According to the newspaper, the IMF had imposed the condition that Pakistan will not grant any tax amnesty and it is part of a continuous structural benchmark. Despite these conditions, the Imran Khan government breached this continuous structural benchmark which now requires a waiver from the IMF's Executive Board for completion of the 7th review, the report added. Watch | Gravitas: North Korea is upset with Pakistan: Here's Why Against this backdrop, the global lending body has asked Islamabad to jack up the discount rate, allow free movement of the exchange rate, slash down Kamyab Pakistan Program (KPP) and reverse relief package measures. The review talks between IMF and Pakistan are expected to conclude on Wednesday.

IMF objects to Imran Khan's relief package, stalls talks with Pakistan

IMF managing director Kristalina Georgieva on Friday said that the sanctions Western countries have imposed on Moscow will lead to a "sharp contraction" of the Russian economy.&nbsp;

She further highlighted that Russia is "moving into a deep recession" with the depreciation of the ruble. She said that a debt default is no longer "an improbable event."

This comes in as the IMF is expected to cut its global growth estimate due to the economic crisis caused by Russia's invasion of Ukraine.&nbsp;

"We got through a crisis like no other with the pandemic. We are now in an even more shocking territory. The unthinkable happened: We have a war in Europe," Kristalina said.&nbsp;

<a href="https://www.wionews.com/world/biden-to-announce-that-us-will-move-to-revoke-most-favoured-nation-trade-status-for-russia-report-461263">Also read |&nbsp;Biden to announce that US will move to revoke 'most favoured nation' trade status for Russia: Report</a>

Meanwhile, as per US media, President Joe Biden is poised to announce the revocation of Russia’s “most favoured nation” trade status, which would allow higher tariffs to be imposed on some Russian imports.&nbsp;

He will announce the plans "to continue to hold Russia accountable for its unprovoked and unjustified war on Ukraine" at the White House at 10:15 a.m. EST (1515 GMT), as per CNN.

Stripping Russia of its favoured nation status paves the way for the US and its allies to impose tariffs on a wide range of Russian goods, which would further ratchet up pressure on an economy that is already heading into a "deep recession."

Completely unaffected by the sanctions, Russia kept up its bombardment of besieged Mariupol while Kyiv braced for an onslaught, its mayor boasting that the capital had become practically a fortress protected by armed civilians.

(With inputs from agencies)

IMF managing director Kristalina Georgieva on Friday said that the sanctions Western countries have imposed on Moscow will lead to a "sharp contraction" of the Russian economy.

IMF managing director Kristalina Georgieva on Friday said that the sanctions Western countries have imposed on Moscow will lead to a "sharp contraction" of the Russian economy. She further highlighted that Russia is "moving into a deep recession" with the depreciation of the ruble. She said that a debt default is no longer "an improbable event." This comes in as the IMF is expected to cut its global growth estimate due to the economic crisis caused by Russia's invasion of Ukraine. "We got through a crisis like no other with the pandemic. We are now in an even more shocking territory. The unthinkable happened: We have a war in Europe," Kristalina said. Also read | Biden to announce that US will move to revoke 'most favoured nation' trade status for Russia: Report Meanwhile, as per US media, President Joe Biden is poised to announce the revocation of Russia’s “most favoured nation” trade status, which would allow higher tariffs to be imposed on some Russian imports. He will announce the plans "to continue to hold Russia accountable for its unprovoked and unjustified war on Ukraine" at the White House at 10:15 a.m. EST (1515 GMT), as per CNN. Stripping Russia of its favoured nation status paves the way for the US and its allies to impose tariffs on a wide range of Russian goods, which would further ratchet up pressure on an economy that is already heading into a "deep recession." Completely unaffected by the sanctions, Russia kept up its bombardment of besieged Mariupol while Kyiv braced for an onslaught, its mayor boasting that the capital had become practically a fortress protected by armed civilians. (With inputs from agencies)

Sanctions will lead to a 'sharp contraction' of the Russian economy: IMF

The International Monetary Fund on Saturday said it expected to bring Ukraine's request for $1.4 billion in emergency financing to its board for approval as early as next week and was in talks about funding options with authorities in neighboring Moldova.

In a statement, the global lender said the war in Ukraine was already driving energy and grain prices higher, and had sent a wave of more than 1 million refugees to neighboring countries, while triggering unprecedented sanctions on Russia.

"While the situation remains highly fluid and the outlook is subject to extraordinary uncertainty, the economic consequences are already very serious," the IMF said in a statement after a board meeting chaired by Managing Director Kristalina Georgieva.

"The ongoing war and associated sanctions will also have a severe impact on the global economy," it warned, noting that the crisis was creating an adverse shock to inflation and economic activity at a time when price pressures were already high.

It said price shocks would be felt worldwide, and authorities should provide fiscal support for poor households for whom food and fuel made up a higher proportion of expenses, adding that the economic damage would increase if the war escalated.

Sweeping sanctions imposed on Russia by the United States, European countries and others would also have "a substantial impact on the global economy and financial markets, with significant spillovers to other countries."

Impact on Ukraine, Moldova&nbsp;

In addition to the human toll, Ukraine was experiencing substantial economic damage, with sea ports and airports closed and damaged, and many roads and bridges damaged or destroyed.

"While it is very difficult to assess financing needs precisely at this stage, it is already clear that Ukraine will face significant recovery and reconstruction costs," it said.

The board was expected to consider Ukraine's request for $1.4 billion in emergency financing as early as next week. Ukraine also has $2.2 billion available through June under an existing stand-by arrangement, the IMF said last week.

Moldova and other countries with close economic ties to Ukraine and Russia were at "particular risk" of scarcity and supply disruptions, the IMF said.

It said IMF staff were actively discussing funding options with Moldova, which has requested an augmentation and rephasing of its existing $558 million IMF loan program to help meet the costs of the current crisis.

The International Monetary Fund on Saturday said it expected to bring Ukraine's request for $1.4 billion in emergency financing to its board for approval as early as next week and was in talks about funding options with authorities in neighboring Moldova.

The International Monetary Fund on Saturday said it expected to bring Ukraine's request for $1.4 billion in emergency financing to its board for approval as early as next week and was in talks about funding options with authorities in neighboring Moldova. In a statement, the global lender said the war in Ukraine was already driving energy and grain prices higher, and had sent a wave of more than 1 million refugees to neighboring countries, while triggering unprecedented sanctions on Russia. "While the situation remains highly fluid and the outlook is subject to extraordinary uncertainty, the economic consequences are already very serious," the IMF said in a statement after a board meeting chaired by Managing Director Kristalina Georgieva. "The ongoing war and associated sanctions will also have a severe impact on the global economy," it warned, noting that the crisis was creating an adverse shock to inflation and economic activity at a time when price pressures were already high. It said price shocks would be felt worldwide, and authorities should provide fiscal support for poor households for whom food and fuel made up a higher proportion of expenses, adding that the economic damage would increase if the war escalated. Sweeping sanctions imposed on Russia by the United States, European countries and others would also have "a substantial impact on the global economy and financial markets, with significant spillovers to other countries." Impact on Ukraine, Moldova In addition to the human toll, Ukraine was experiencing substantial economic damage, with sea ports and airports closed and damaged, and many roads and bridges damaged or destroyed. "While it is very difficult to assess financing needs precisely at this stage, it is already clear that Ukraine will face significant recovery and reconstruction costs," it said. The board was expected to consider Ukraine's request for $1.4 billion in emergency financing as early as next week. Ukraine also has $2.2 billion available through June under an existing stand-by arrangement, the IMF said last week. Moldova and other countries with close economic ties to Ukraine and Russia were at "particular risk" of scarcity and supply disruptions, the IMF said. It said IMF staff were actively discussing funding options with Moldova, which has requested an augmentation and rephasing of its existing $558 million IMF loan program to help meet the costs of the current crisis.

War in Ukraine will have 'severe impact' on global economy: IMF

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