The Strategist

WTO head: The world is sinking into global recession

09/28/2022 - 10:45

Ngozi Okonjo-Iweala, the director general of the World Trade Organization (WTO), stated at the WTO public forum that the world economy is entering a worldwide recession.

Jan Truter
Jan Truter
"A recession is approaching... We're heading into a global recession, in my opinion," Director General of the organization warned.

"We must begin to consider rehabilitation and the restoration of growth. This is crucial, especially for WTO members who are underprivileged. To restore growth, we must consider actions and policies that must be taken," added she.

The head of the WTO stated in response to a query regarding the decision of the world's top financial authorities to increase refinancing rates that they were unable to act otherwise given the current circumstances.

The ramifications for emerging markets and developing nations are really worrisome because they are also hiking interest rates, according to Okonjo-Iweala, who added that central banks are compelled to tighten interest rates.