Threat of recession in the global economy augments; economists express

London: The debt burden on the countries worldwide will grow by 10% and will cross $71 trillion. This is the warning issued by the asset management company Janus Henderson in its report. The report claims that the United States, China, Japan and other countries will borrow heavily during this year. The Bank of America has warned that inflation will be raging this year. Economists around the globe are warning that taking into account the developments on the global level. The world will face a severe recession.

Moreover, the global economy has suffered severe losses given the Coronavirus pandemic. While the global economy was recovering from this, the Ukraine conflict was sparked in 2022. Repercussions of the conflict and the subsequent harsh sanctions imposed by the United States against Russia are being felt on the global level. Moreover, China has shut down its main city of Shanghai under the pretext of the Zero COVID policy. All this is taking its toll on the global economy. Some economists claim that there is no wave of the recession coming and the global economy is already in recession. US economists are blaming the policies of President Biden for the situation.

Experts working in the US financial sector are warning the population that they will have to face raging inflation soon. As per these experts, the changes in the policies of the Federal Reserve are also responsible for the situation, along with the policies of President Biden. At the same time, these economists also point to the hugely increasing US debt burden. The economists are pointing out that the United States and the debt burden is also seen rising even in China and Japan, the 2nd and 3rd ranked economies. Saying that the debt burden will increase by 9.5% in the current year and will cross $71 trillion, Janus Henderson has warned that a significant financial crisis is looming worldwide. Economists say that the economic crisis developed due to the Coronavirus pandemic and subsequent Ukraine conflict is responsible for the situation.

The situation has become grim in the countries facing a shortage of food grain, electricity and fuels. Citizens in some countries have taken to the streets to protest and soon, the ill effects of lack of food grain, electricity and fuels will become evident even in the leading countries. In this situation, countries are faced with maintaining stability on the diplomatic and economic levels. Responsible analysts are expressing concerns that if the instability increases in the future, it will halt the economic growth and the situation will become more serious. Economists in the United States are warning that the United States, which is a superpower, will not be able to distance itself from the anarchy.