IMF warns rising global debt, energy costs threaten growth

The International Monetary Fund (IMF) has warned that rising energy prices, record public debt and the rapid expansion of artificial intelligence (AI) are creating fresh risks for global economic growth ahead of the IMF-World Bank Annual Meetings in Bangkok, Thailand. Kristalina Georgieva, IMF managing director, said the global economy was facing three major crosscurrents that could widen disparities between countries, complicate efforts to contain inflation and increase pressure on government finances. Speaking in Singapore on October 7, ahead of the Annual Meetings scheduled to commence on Monday, Georgieva said the interaction between an adverse energy supply shock and an AI-driven investment boom was producing uneven economic outcomes across countries. She noted that global growth had remained steady since the IMF’s spring assessment, but the underlying performance varied significantly, with economies affected by conflicts and countries heavily dependent on energy imports facing greater pressure. “Whether this fortitude will be sustained and whether the world’s underwhelming growth rates this decade can be bettered will depend on our success in navigating three major crosscurrents: the rapid arrival of AI, persistently high energy prices, and record levels of public debt,” Georgieva said. The IMF chief said the three issues would form the central focus of discussions among finance ministers and central bank governors from the fund’s 191 member countries during the meetings. On energy, Georgieva warned that persistently high prices were increasing the cost of fuel, fertilisers, food and other industrial inputs, putting additional pressure on inflation and economic activity. She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Kristalina Georgieva, IMF managing director, said the global economy was facing three major crosscurrents that could widen disparities between countries, complicate efforts to contain inflation and increase pressure on government finances. Speaking in Singapore on October 7, ahead of the Annual Meetings scheduled to commence on Monday, Georgieva said the interaction between an adverse energy supply shock and an AI-driven investment boom was producing uneven economic outcomes across countries. She noted that global growth had remained steady since the IMF’s spring assessment, but the underlying performance varied significantly, with economies affected by conflicts and countries heavily dependent on energy imports facing greater pressure. “Whether this fortitude will be sustained and whether the world’s underwhelming growth rates this decade can be bettered will depend on our success in navigating three major crosscurrents: the rapid arrival of AI, persistently high energy prices, and record levels of public debt,” Georgieva said. The IMF chief said the three issues would form the central focus of discussions among finance ministers and central bank governors from the fund’s 191 member countries during the meetings. On energy, Georgieva warned that persistently high prices were increasing the cost of fuel, fertilisers, food and other industrial inputs, putting additional pressure on inflation and economic activity. She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Speaking in Singapore on October 7, ahead of the Annual Meetings scheduled to commence on Monday, Georgieva said the interaction between an adverse energy supply shock and an AI-driven investment boom was producing uneven economic outcomes across countries. She noted that global growth had remained steady since the IMF’s spring assessment, but the underlying performance varied significantly, with economies affected by conflicts and countries heavily dependent on energy imports facing greater pressure. “Whether this fortitude will be sustained and whether the world’s underwhelming growth rates this decade can be bettered will depend on our success in navigating three major crosscurrents: the rapid arrival of AI, persistently high energy prices, and record levels of public debt,” Georgieva said. The IMF chief said the three issues would form the central focus of discussions among finance ministers and central bank governors from the fund’s 191 member countries during the meetings. On energy, Georgieva warned that persistently high prices were increasing the cost of fuel, fertilisers, food and other industrial inputs, putting additional pressure on inflation and economic activity. She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She noted that global growth had remained steady since the IMF’s spring assessment, but the underlying performance varied significantly, with economies affected by conflicts and countries heavily dependent on energy imports facing greater pressure. “Whether this fortitude will be sustained and whether the world’s underwhelming growth rates this decade can be bettered will depend on our success in navigating three major crosscurrents: the rapid arrival of AI, persistently high energy prices, and record levels of public debt,” Georgieva said. The IMF chief said the three issues would form the central focus of discussions among finance ministers and central bank governors from the fund’s 191 member countries during the meetings. On energy, Georgieva warned that persistently high prices were increasing the cost of fuel, fertilisers, food and other industrial inputs, putting additional pressure on inflation and economic activity. She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

“Whether this fortitude will be sustained and whether the world’s underwhelming growth rates this decade can be bettered will depend on our success in navigating three major crosscurrents: the rapid arrival of AI, persistently high energy prices, and record levels of public debt,” Georgieva said. The IMF chief said the three issues would form the central focus of discussions among finance ministers and central bank governors from the fund’s 191 member countries during the meetings. On energy, Georgieva warned that persistently high prices were increasing the cost of fuel, fertilisers, food and other industrial inputs, putting additional pressure on inflation and economic activity. She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

The IMF chief said the three issues would form the central focus of discussions among finance ministers and central bank governors from the fund’s 191 member countries during the meetings. On energy, Georgieva warned that persistently high prices were increasing the cost of fuel, fertilisers, food and other industrial inputs, putting additional pressure on inflation and economic activity. She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

On energy, Georgieva warned that persistently high prices were increasing the cost of fuel, fertilisers, food and other industrial inputs, putting additional pressure on inflation and economic activity. She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She said oil prices remained around $100 per barrel despite a tentative recovery in supplies from the Gulf, reflecting geopolitical risks, elevated transportation costs and other market pressures. A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

A global shortfall in refining capacity was also contributing to record-high prices for diesel and other refined products, while disruptions to natural gas supplies from the Gulf continued to affect markets, particularly in Asia and Europe. Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Georgieva also said that the energy price pressures could intensify, as countries replenish reserves and demand rises ahead of the Northern Hemisphere’s winter. Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Even if the conflict in the Gulf ended soon, she said, elevated energy prices could persist for some time, with Brent crude futures pointing to high prices through 2027. The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

The increase in energy prices is also pushing up inflation, interest rates and government bond yields, adding to financing pressures for governments and businesses. According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

According to Georgieva, 10-year government bond yields in the United States, Germany and Japan had risen to their highest levels since 2007, 2009 and 1996, respectively, and were still climbing. These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

These developments are taking place as global public debt approaches its highest level since the aftermath of the Second World War and is on course to exceed 100 percent of global gross domestic product. Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Georgieva said rising borrowing costs were increasing governments’ interest bills at a time when public finances were already under pressure from successive economic shocks, elevated spending demands and persistent fiscal deficits. “Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

“Elevated yields are inflating the interest bill,” she said, warning that policymakers could no longer afford to delay difficult decisions on public finances. She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She said high-debt advanced economies needed credible medium-term fiscal consolidation plans, while emerging markets should work to expand their fiscal space and strengthen foreign exchange buffers. For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

For emerging markets, higher benchmark yields could increase funding costs and expose economies to more volatile capital flows. Although some countries have benefited from relatively tight risk spreads, Georgieva cautioned that this protection could become less reliable as global financial conditions change. She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She also warned that low-income countries were particularly vulnerable because of financing constraints, high interest-to-revenue ratios, narrow tax bases and declining aid flows. These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

These pressures could force governments to reduce essential development spending, creating additional challenges for countries already struggling to finance infrastructure and social needs. The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

The IMF managing director stressed that fiscal consolidation should be designed to limit the damage to economic growth and protect vulnerable populations. She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She urged policymakers to explain the need for fiscal adjustments, adopt measures that minimise the costs to future growth and pursue structural reforms capable of improving productivity. “Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

“Some very tough political choices stare us in the face,” Georgieva said. “We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

“We cannot keep delaying necessary policy action, you have the tools, now have the wisdom to use them.” Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Beyond energy and public debt, Georgieva identified AI as an increasingly important force shaping countries’ economic prospects, with the potential to accelerate growth but also widen global inequalities. She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She said global investment in AI could reach or exceed the amounts previously invested in building major infrastructure such as railways, electricity grids and telecommunications networks. AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

AI hardware and related technology products now account for more than one-tenth of global goods trade, with the share rising, reflecting the scale of investment in the technology’s supply chain. The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

The United States, China and India are among the economies investing heavily in AI infrastructure, while several Asian economies supply essential components, including advanced microprocessors, memory chips, chip-making equipment and robotics. However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

However, Georgieva warned that the benefits of the investment boom were concentrated in a relatively small group of economies, leaving many countries at risk of falling further behind. She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She said AI could eventually add up to half a percentage point to annual global economic growth if countries successfully harnessed the technology’s productivity benefits. Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Realising that potential, however, would require investment in digital infrastructure, workforce readiness and appropriate regulatory safeguards. Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Georgieva also cautioned that the rapid expansion of AI could create financial stability risks, particularly if expectations of strong corporate earnings failed to materialise. Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Growing leverage among major technology companies and the concentration of investment in global equity markets could amplify losses and transmit shocks across financial systems, she said. She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She called for strong regulation and supervision, alongside reforms to improve workforce skills, make labour markets more flexible, expand access to patient risk capital and strengthen energy security. The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

The World Bank is also placing job creation and AI adoption among the issues for discussion at the Annual Meetings. A session scheduled for October 12 will examine how practical and affordable AI tools can help create jobs at scale in developing countries. The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

The meetings come as policymakers confront the challenge of sustaining economic growth while managing inflation, rising debt-servicing costs and rapid technological change. Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Georgieva said international cooperation remained essential because countries were interconnected through trade, investment and financial markets, making it difficult for individual economies to insulate themselves fully from global shocks. She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

She urged governments to pursue policies that strengthen economic resilience, restore fiscal buffers and ensure that the benefits of technological progress reach more countries. “Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

“Growth alone cannot solve the fiscal problem, but growth certainly helps,” she said, stressing that structural reforms and sound economic policies would be critical to improving the global outlook. Hope Moses-Ashike Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa. Share

Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa.