México, among the few beneficiaries in the global fragmentation process: Georgieva

The Managing Director of the IMF, Kristalina Georgieva, acknowledged that the prevailing fragmentation of the global economy has a negative impact worldwide. However, some countries like Mexico are experiencing certain benefits.

Washington, D.C. The Managing Director of the International Monetary Fund (IMF), Kristalina Georgieva, acknowledged the prevailing fragmentation of the global economy, which she stated has a negative impact on the world. However, she noted that some countries like Mexico are experiencing certain benefits.

Mexico has become the gateway to the United States for goods that otherwise would not have passed through its territory. And Latin America may also find some opportunities that help accelerate its performance in this context, she mentioned.

During the press conference that kicked off the IMF Spring Meetings, she explained that countries in the region could implement policy strategies that would allow them to also reap benefits from this relocation of companies seeking to protect their supply chains from global shocks.

She highlighted that the central banks in the region showed remarkable commitment by identifying global inflation shocks early on.

“The countries took the task of putting their monetary policy in order very seriously and were much more agile than the rest of the world in addressing inflation, which now allows them to start cutting rates,” she said.

Offering her outlook for the global economy, she stated that it is growing with remarkable resilience but in a process that is not without concerns.

“Inflation is slowing down, but it hasn’t gone away. The recovery in the United States has a downside. It is pushing up prices, and the prospect of a global economy growing at 3% is one of the lowest rates we have had and will have a negative impact on productivity,” she noted.