"Danger Zone"-Economy: World Bank

Independent Films, Politics

World Bank President Robert Zoellick said that “the world is in a danger zone.”

Speaking at press conference today at the opening of the World Bank / IMF annual meetings, Zoellick said that the economic crisis in the developed world “could become a crisis for developing countries” and that Europe, Japan and the United States must address their problems before they become bigger problems for the rest of the world. “Not to do so is irresponsible” he said.

Developing countries up until recently have been the “bright spot” in the global economy, providing around half of the global growth while Europe, Japan, and the United States have struggled with high debts and high unemployment.

Zoellick said that now emerging markets “may be changing for the worse,” endangering economic recovery around the world, adding that falling exports were “already a worry,” and that falling markets and declining confidence could prompt slippage in developing countries’ investment and a pullback by their consumers, too.”

He warned of the threat of rising protectionism saying that developing countries were not as well-placed as they were in 2008 to “withstand another shock.”

Tags

• Prudential Financial
• amortization
• asia trade
• Eurozone Crisis
• trans-pacific partnership
• deutsche bank
• greek economy
• china development

Directors:

• Muhamed Sacirbey (UNTV-World Bank)

Producers:

• Susan Sacirbey (UNTV-World Bank)