Wow The world is not good. Strong warning from the IMF about the economy that continues to decline in all sectors.

The International Monetary Fund (IMF) in the World Economic Forum (WEF) conveyed several important things that can shake the world economy. Among them are interest rates that are expected to remain high until human work has the potential to be replaced by Artificial Intelligence (AI).

The 54th World Economic Forum (WEF) was held again. This well-known forum was held in Davos, Switzerland, on Monday (1/15/2024) to Friday (1/19/2024).

The summit hosts governments from more than 100 countries as well as all major international organizations. This year’s theme is “Rebuilding Trust”, which seems to be a continuation of the 2022 theme “Working Together, Restoring Trust”, when most of the world is still hit by the Omicron Covid virus.

This year, the theme is divided into four categories, namely achieving security and cooperation in a divided world, creating growth and employment for a new era, artificial intelligence as a driving force for the economy and society, and long-term strategies for climate, nature and energy.

Please note, the German economy faces tough challenges since the Russian war in Ukraine which caused inflation, especially energy costs to soar. This price surge contributed to a sharp decline in the energy-hungry manufacturing sector in Germany while the construction sector was also affected.

Actually, the weak performance of the economy has been widely estimated. The IMF predicts that Germany will be the only developed country that does not experience growth by 2023.

Increased competition with China, which was once the main destination for German-made goods is also another cause. Not to mention, the aggressive increase in European zone interest rates to control inflation is adding to Germany’s misery.

So becarefull guys.