The head of the International Monetary Fund said Russia’s invasion of Ukraine had caused a “huge setback” to the economy recovering from the coronavirus pandemic, with growth expected to slow in most countries and inflation to rise.

speaking at the meeting Washington Carnegie Foundation On Thursday, ahead of next week’s spring meetings of the International Monetary Fund and World Bank, Kristalina Georgieva said the economic fallout of the war in Ukraine was spreading globally.

Her analysis of the global economy was pessimistic, saying the Russian invasion had “worsened” the incomes of hundreds of millions of people around the world who were already suffering from rising food and energy prices.

“This is a huge setback for the global recovery,” Georgieva said. “For the first time in years, inflation is a clear and present danger in many countries.”

In next week’s economic forecast, the IMF will cut growth forecasts for 143 countries around the world, accounting for 86 percent of global GDP, the IMF chief said.

While the outlook for some commodity exporters has brightened as export prices have risen, downgrades in most countries are easily offset by these effects. For those hardest hit, Ukraine will suffer ‘catastrophic economic damage’ [and] Russia is severely contracted,” she added.

As Russia and Ukraine are in the lead Wheat and Fertilizer Exportersfood insecurity will be a “serious concern” in areas such as sub-Saharan Africa and some Latin American countries.

As inflation reaches new U.S. hits 40-year high and a UK’s 30-year high This week, the International Monetary Fund said its forecast for next Tuesday also indicated that the rapid price rise would be more persistent than previously thought.

Georgieva said the task of central banks and economic policymakers is to “control high inflation and rising debt while maintaining critical spending and laying the foundations for durable growth”.

Georgieva has no illusions about the enormity of the task, avoiding specific monetary policy proposals while urging an end to the war in Ukraine.

“In the face of this challenge, central banks should act decisively, take the pulse of the economy, and adjust policy appropriately. And of course, communicate clearly,” she said.

Heads of leading international financial institutions also urged countries to recognise the threat of financial crisis split into economic blocs This will magnify the negative outlook she presents.

“In a world where wars in Europe are starving in Africa; a pandemic can circle the planet in days and reverberate in years; emissions anywhere means sea level rise everywhere – a breakdown in global cooperation is critical to our collective prosperity The threat of this cannot be overemphasized,” Georgieva said.