Covid-19 downturn not as bad as feared; crisis not over: IMF chief

WASHINGTON: Amid a flood of government spending, the global downturn sparked by the coronavirus pandemic will not be as bad as originally feared, but the crisis is far from over, IMF chief Kristalina Georgieva said Tuesday.

"The picture today is less dire... allowing for a small upward revision to our global forecast for 2020," she said. The IMF is due to present updated forecasts next week.

She credited the "extraordinary policy measures that put a floor under the world economy," which amounted to $12 trillion in fiscal support to households and firms.

But the economic shocks, especially to low-income countries, have been "profound."

"All countries are now facing what I would call 'The Long Ascent' -- a difficult climb that will be long, uneven, and uncertain," Georgieva warned.