Germany, Italy to face recession as IMF cuts global growth forecast

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Germany, Italy to face recession as IMF cuts global growth forecast
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Germany and Italy will slip into recession next year, becoming the first advanced economies to contract in the wake of the Russia-Ukraine conflict, IMF says

Germany and Italy will slip into recession next year, becoming the first advanced economies to contract in the wake of the Russia-Ukraine conflict.

Italy, whose industries are also dependent on gas imports, will see its gross domestic product contract by 0.2 percent - also a sharp downgrade from 0.9 percent growth July. The conflict on Europe's eastern flank has sent inflation soaring higher as energy prices have jumped, forcing the European Central Bank to hike interest rates to cool the economy, at the risk of precipitating a contraction.

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