IMF says world already in recession, emerging markets need $2.5 trillion

The coronavirus has already plunged the global economy into recession, IMF Managing Director Kristalina Georgieva said on Friday, adding immense pressure on emerging markets suffering from lost commerce, reduced exports and massive capital outflows.

Georgieva told a news conference that emerging market countries need at least $2.5 trillion in financial resources to get through the pandemic. Internal reserves and borrowing in local markets will be insufficient to cover these needs, so substantial funding from the IMF, other institutions and bilateral creditors will be necessary.