US-China trade war taking its toll: IMF

Washington: The new managing director of the International Monetary Fund, Kristalina Georgieva, on Tuesday said that the trade war between the United States and China is taking its toll on the world’s economic activity in general, and on the manufacturing sector in particular.
“We have spoken in the past about the dangers of trade disputes. Now, we see that they are actually taking a toll,” Georgieva said in her first speech since she became head of the IMF, Efe news reported.
In fact, the Bulgarian economist who has succeeded in that position Christine Lagarde, who left to become president of the European Central Bank, said that “global trade growth has come to a near standstill.” “In part because of the trade tensions, worldwide manufacturing activity and investment have weakened substantially,” she said, noting that services and consumption could soon be at risk because “the fractures are spreading.” The new IMF head said that trade disputes have now affecting multiple countries, as are other critical situations like Brexit.
She warned that due to the world’s interconnected economies, many countries will soon feel the impact.