IMF says world in recession, countries must 'go big' on spending

IMF Managing Director Kristalina Georgieva(pic) said emerging market countries will need at least $2.5 trillion in financial resources to get through the crisis, and their own internal reserves and market borrowing capacity will fall short of meeting this need.

WASHINGTON: The coronavirus has already driven the global economy into recession and countries must respond with "very massive" spending to avoid a cascade of bankruptcies and emerging market debt defaults, the head of the International Monetary Fund warned on Friday.

IMF Managing Director Kristalina Georgieva said emerging market countries will need at least $2.5 trillion in financial resources to get through the crisis, and their own internal reserves and market borrowing capacity will fall short of meeting this need.