Global growth to fall below last year's level due to coronavirus: IMF

WION Web Team
Washington, United States Updated: Mar 04, 2020, 11:28 PM(IST)

File photo. Photograph:( AFP )

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Canada's central bank has cut its key lending rate by 0.5 percentage points to 1.25 per cent due to the risk of a slowdown as a result of coronavirus.

As the coronavirus continued to spread worldwide, International Monetary Fund(IMF) chief Kristalina Georgieva said the epidemic poses a "serious threat" while adding that it will slow growth below the 2.9 per cent posted last year.

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"The coronavirus outbreak is no longer a regional issue, it is a global problem (that) calls for global response," Georgieva said.

In January, the IMF had forecast global growth this year to 3.3 per cent.

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The 189 members of the IMF pledged to use all its available financing instruments to help member countries in need.

"We are determined to provide the necessary support to mitigate the impact, especially on the most vulnerable people and countries," the members said.

Also Read: Air India raises Rs 6 crore bill for evacuating 647 from Wuhan

Meanwhile, Canada's central bank on Wednesday cut its key lending rate by 0.5 percentage points to 1.25 per cent due to the risk of a slowdown as a result of coronavirus.

The move comes after US Federal Reserve cut rates on Tuesday.

The virus hit the EU administration in Brussels after two employees tested positive for the novel coronavirus even as German airline Lufthansa it would ground 150 of its more than 750 planes worldwide due to the growing threat of the virus.

Meanwhile, the death toll in Iran rose to 92 on Wednesday while it rejected the US offer to help the Islamic republic fight the coronavirus outbreak.

The number of novel coronavirus cases worldwide has now risen to 93,108, including 3,201 deaths across 81 countries.

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