japan said to first get imf and then we will come in.m: people are very divided about the notion about seeking international help from international lenders. 20% of sri lankans come from the middle class and had high hopes life would be much better than it could be taking part in the political and economic sphere . now they feel betrayed abandoned , by the political elite. what is next for them? >> history shows us that there will be an economic turmoil also for the middle class who had been hoping to see a greater share in the well-being of the state and wealth of the state. history taught ■usfrom greece, argentina, peru, and you know eastern asian countries where , and there i have to disagree vehemently because academic research is pointing out to the devastating impact imf world bank have also in the middle class and also the most vulnerable, because i do think that structural adjustment programs will not only further the neoliberal ideology, but also cut more on the state, leading to more impoverishment among the people, and the way

is the imf in the ballpark _ those problems. is the imf in the ballpark with _ those problems.the imf in the ballpark with the - those problems. is the imf in the ballpark with the others l those problems. is the imf in| the ballpark with the others in terms of forecast? you mentioned the bank of england there but forecast can be notoriously pretty unreliable. they can and especially in such uncertain times. if you go back six months even, how many people are forecasting growth and inflation and interest rates like they were this year? the ceo ofjpmorgan said earlier this year there could be between five and seven interest rate hikes in the us this year, it is actually can be more like 3% or more than double what he was saying and at the time that was seen as a shocking forecast, so we can't be any make any two minds, it is an extremely difficult environment to be forecasting and so there is no certainty on this, a lot can change, there are a lot of volatile factors at play that there is no also getting away from the fact that energy prices just are not going to get much lower

the imf, how difficult will negotiations be? lanka is going into these negotiations as a bankrupt country. >> things will be hard and difficult, and there is no doubt we will need to seek third-party help. our bargaining powers are limited. they will look to impose conditions so that the country will be more accountable. lack of accountability has been the biggest curse. it will be a tough road ahead, and we need a unity approach. we need the cooking gas, the fuel, fertilizer for farmers, and to open the schools that have been closed. this is going to be the task for the interim government, but they will have to start negotiating and opening up channels to see what happens. therefore, the first three or four months or six months, we have to address these issues, but thereafter, we have to battle in other negotiations. it is not going to be easy. >> when the imf gives a bailout, as you know, the bailouts come with austerity, which generally affects the poor. >> you are right. that is where the imf has gone. what is important is t

does sri lanka have _ agree terms with the imf. does sri lanka have the _ agree terms with the imf.ve the sort - agree terms with the imf. does sri lanka have the sort of- sri lanka have the sort of technocrats might be best placed to fill the role of complying with the likes of the imf? do those people exist? yes, sri lanka has been in the imf programme before. the previous president, under him, they recognise they needed to implement the reforms to gain access to more foreign exchange to be able to pay off their debts, and also afford the import sri lanka needs. {line import sri lanka needs. one other point. _ import sri lanka needs. one other point, with _ import sri lanka needs. one other point, with regard to president rajapaksa again, a lot of people feel they have been let down by this government, and they want some justice. can you see rajapaksa being held accountable for the way he has run the country, given that he is now in the maldives? i given that he is now in the maldives?— given that he is now in the maldives? ., �* ~ ., maldives? i don't think so, and this is one _

the second is that the imf and world bank need to write off their own insience on repayment. imf has an obscene syem of demanding fees, additional surcharges on countries that are deeply in debt and cannot repay. which is frankly, unacceptable. it should immediately abandon that practice. the bilateral's should be giving up on some of their debt. they will not notice it. there has been a big expansion last year, $650 billion. $400 billion went to the rich countries and noneave used it. they don't need to use it. why not release those for debt relief? it is fairly straightforward and only requires a government action. at doesn't require going to congress. it requires a government action because it is less than 1% even. why not do these creative measures which are all feasible? if you can somehow manage the debt of these developing countries and you have an issue, developing countries get a small proportion but it is an absolute lifeline. it is an emergency saving package which otherwise they will be starving their people of food and fuel annecessities. these are straightforwar

as imf says it stands ready to offer support. a new ceo to replace thomas, according to the financial times, this is part of a long-running effort to turn around a struggling lender. the announcement is expected later wednesday when credit suisse reports second-quarter earnings. elon musk and twitter are fighting about the start date for the delaware trial. twitter insists on october 10. twitter says it spent more than $33 billion so far on musk's proposed acquisitions. global news 24 hours a day, on-air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in over 120 countries. heidi: we will take a closer look at the second quarter earnings and a full your outlook amid growing fears of a global recession. we discussed investment strategies with an individual who says it is good to spend your cash instead of leaving it on the sidelines. this is bloomberg. ♪ shery: we have news out of south korea, the second largest memory chip maker after electronics. operating profits are gaining 56% year on year. it i

yes, sri lanka has been in the imf programme before.ous prime minister and president, sri lanka was in an imf programme because they recognised they needed to implement the reforms to gain access to more foreign exchange to be able to pay off their debts, and also afford the imports sri lanka needs. one other point, with regard to president rajapaksa again, a lot of people feel they have been let down by this government, and they want somejustice. can you see rajapaksa being held accountable for the way he has run the country, given that he is now in the maldives? i don't think so, and this is one of the reasons the protesters are upset with the current prime minister wickremesinghe. there is a belief he has shielded the rajapaksas from prosecution. when he was prime minister, after the former president mahindra rajapaksa lost his re—election bid, there was a time they could have prosecuted the rajapaksas for their war crimes especially, but he refused to go ahead with that. on social media, people referring to him in a generally angry

800 million from the imf, $1 billion from the world bank.y: what about bilateral financing will you get from india and china? dr. devarajan: the conversations with those countries will be at the level of the debt restructuring because there are huge debts that sri lanka owes. and part of this program is to see by how much those debts can be reduced. at the same time, there are discussions and some have been fruitful with india about ridge finance to buy the essential imports sri lanka needs right now like food and fuel and pharmaceuticals. india has already provided about $4 billion in bridge financing and their are discussions for a further $1 billion up to $1.5 billion. there are also discussions with japan about the possibility of bridge financing and possibly with china as well. haidi: professor, you have been quite optimistic and thus conversation. given that you characterized sri lanka as being in danger of becoming a fragile state and some would argue the precipice has already been reached, it does it have to get worse before it gets

first, i think it's the imf - what can they do? first, i think it's the imf to - what can they do? think it's the imf to and when there are country level mistakes, even in poor countries, smaller economies like sri lanka recently, and what pakistan seems to be looking at right now, they can have a magnified effect on the global economic order so in sri lanka, what happened was, the global crisis we just talked about, they are an importer of food and fuel, so prices go up, they've been running deficits so suddenly their imports get a lot more expensive and in the past, they've made some systematic errors here, so for example, these were political mistakes with a invested in big projects but turned out to be really inefficient or unproductive like that report which ended upjust unproductive like that report which ended up just competing with their own port of colombo. and what happens is with poor countries, if you don't have a strong reputation on repayment, investors get spooked, they start demanding repayment and that itself precipitates a currency crisis because there is sometime

we have been talking about the imf.g these economies struggling, and they want to make sure they are on track when it comes to potential sovereign defaults. restructuring talks with sri lanka should move quite quickly once a new government is in place. >> we have a good technical engagement with the counterparts in sri lanka. we hope there is wisdom to move the country out of this terrible crisis. the minister of finance and i am confident we will move the discussions. a lot of the technical work has already been done. >> what amount of debt restructuring is needed for the imf to see that sri lanka is on a sustainable path? >> we have already seen the seriousness to what it will take to have that resolution. we have been reaching out to the biggest creditors. it would be better for the creditors to step forward, because then they have a better chance for the country to recover and recoup more. >> as it stands now, how much is pakistan at risk and how are you assessing the likes of egypt, tunisia heading that way? >> we

and we also have headlines from the imf. haidi: they are set to cut global growth and their outlook for global growth substantially at their next review. this as we see in incredible amount of anxiety over this idea of a u.s. and potentially global recession. take a look at the chart where we see the mention of recession hitting the highest levels we've seen since the onset of the pandemic. the international monetary fund grappling with a shrinking list of options on how to counter the worsening recession risks. still an ongoing pandemic as well as a slowdown in the risks in china. shock aftershock aftershock according to the imf director for strategy, policy, and review. at the same time it comes as the g20 manages the central bank and they weren't even able to come to an agreement when it comes to the war in the ukraine -- the war in ukraine. even on the policy front, it looks like there are real risks to having a cohesive strategy to working the world out of this crisis. shery: how do you coordinate when you don't have a

the imf warns of a substantial cut to the global growth outlook. we hear exclusively from the managing director. >> we will talk about that, 3.6% is the latest forecast. the update is in about one week or so. that being said, we have to question this every week. if inflation goes to 15%, theoretical, how much can the fed go further? this will slowly really come down. you are getting equity markets -- abounds in equity markets. you can see some of this in the dollar and the dollar peers. >> all of these talks of boycotts and mortgages tend to lay things down pretty down south. you are seeing signs that banks might be there as well when in terms -- when it comes to developers as well. we are nearing that correction territory for that benchmark. we are closing low on the 100 day moving average. it seems that the narrative when it comes to china is where do i reduce exposure when it comes to china? the governor still seems to be there. we will all look at oil prices as well. this is pretty packed. it seems that both sides are saying different things. w

we will talk about what that means for negotiations with the imf.there going to choose a new president. yvonne: china's credit jumps to record highs following an aggressive stimulus boost. we break it down for you next. this is bloomberg. ♪ yvonne: take a look at when comes to greater china, markets today, we are in the right when comes to hstech, regarding those fines on alibaba and tencent. will bank -- wugang to be locked down for three days. the covid wrists still there, shanghai, csi 300, pretty sheltered from this risk off day. david: in some ways offset by the policy support that has come out, latest one was the june credit numbers. on the back of this two steps forward, one step back in the reopening. one example is m2, 11.4%, the biggest pace of increase going back to 2016. this is visualized against travel -- annual averages, the target, general guidance is m2 growth at the same rights as nominal growth. the other bids are coming up, it shows you the june in terms of aggregate financing, was the biggest june on record. the reason we have t

today is fed day, and the imf is downgrading global growth, is this just the imf catching up to everybodylse? how close are we to global recession? sunaina: not far at all, unfortunately. we have a central system that has been late to the rate hikes to control inflation. that rush to bring inflation down will choke off demand growth and growth itself. we are looking at a couple of quarters of pain at minimum. anna: a couple of quarters of pain. does that mean a couple of quarters of rate hikes as well? sunaina: yes indeed. if you look at the breakeven on the inflation rate in the u.s., it has come down to 2.6%. markets consistently underpriced inflation risk and are hoping that rate hikes will bring it down enough but choke growth off enough to see rate cuts next year. it is optimistic, we have to say that as a collective, but the growth slowdown is occurring. can see that in demand adjustments. many companies talking about topline guidance coming down on a forward basis. we know that growth is slowing, it is just a question of when do we bought amount? anna: what are we expecting to hear

pierre-olivier, imf chief economist joining us.we take you to data which illustrates some of the threats we have been talking about with regards to the european economy. the central bank -- 1% today, and a lot of pressure on the german economy as a result of concerns about recession and the things you see in the next column, natural gas prices in europe. that is up by 12.7% in today's session following a big rise in yesterday's session. all of that being heavily on the euro, back up 101, against the dollar as we head towards that fed meeting. coming up on the european close, paul -- joins us, head of an quest -- head of equities. what is his expectation around u.k. markets? given what we have seen in oil prices, energy stocks are doing better and basic resource stocks are doing better. german markets and -- are underperforming because of what we have been talking about around gas. alix: the playbook in the u.s. is a buying bonds, buying fx currency, selling stocks. that is the playbook, despite the idiosyncratic factors of particul

yes, sri lanka has been in the imf programme before.he previous prime minister and president, under him, they recognise they needed to implement the reforms to gain access to more foreign exchange to be able to pay off their debts, and also afford the imports sri lanka needs. in washington, the committee investigating the storming of the us capitol last year has heard how donald trump incited far—right extremists in a last—ditch bid to remain in office. members of his inner circle explained how mr trump ignored their advice to concede the election, and instead summoned a mob to washington. our correspondent nomia iqbal has been following the hearing. there were two parts to today's hearing. the first part revolved around something that was referred to as an unhinged meeting which happened in mid—december, in which donald trump's advisers were telling him to concede the election, but he was listening to a group of unofficial advisers who were telling him to continue with his baseless claims the election was stolen. the next day, which is

the imf caught the world gdp output. let us get more with our anchor, our editor, and energy reporter. let us start with the tech earnings on the more upbeat note, what is going on with alphabet? >> we saw earnings just slightly miss but advertising, we saw a beat. given the results of snap and twitter, google's results show that the ad market is still strong. i did speak with the cfo and she used the word uncertainty several times. that is the best way to characterize the situation we are facing. they did have a big lapping of high-growth last year. she talked about the growth in search advertising was driven by a recovery in travel and retail. people are traveling, shopping, despite the inflationary environment. we also talk about to talk. i talked about the threat of tiktok to youtube, youtube is a big source of digital advertising for alphabet and she says people want to consume short form videos, they are investing in youtube shorts and other ways to watch shorter videos. they're working on engagement and hope that

the imf says the world could be heading for the worst recession in 50 years.ng at record levels. the imf added that the higher interest rate used to curb inflation is another risk factor. russia has said it will withdraw from the international space station after 2024, ending two decades of cooperation with the united states and other countries.

a lot of contingent of the imf bailout. you had conversations with the imf last week. latest? how close is for a to that bailout? harsha: thanks for having us. the issue is not with the imf. the issue is with the restructuring of the debt. we got official creditors we got a deal with. we had china we have a deal with. we have private creditors, sovereign bondholders. unless we either have a re-deal or significant progress towards this deal, imf will not be able to release any money under the facility. even if we agree on an agreement anytime soon. haslinda: you're suggesting that the imf bailout is not coming anytime soon. how will this play out in the economy? harsha: we've just hired two people to help us deal with the restructuring. they have not really started negotiating. already, there is one creditor who has gone to court in new york against the government of sri lanka, asking for full payment of $250 million due on july 25. so, unless there is, like i said -- it is a subjective term and significant progress. the imf is not able to lend to us. i am thinking perh

the imf says it stands ready to offer support. the eu is preparing for the possibility of a full cut off of russian energy supplies with member nations agreeing to reduce natural gas usage by 15% for next winter. this pd agreement reflects rapidly deteriorating gas flows from russia. gazprom says supplies are set to drop to around 20% capacity wednesday. >> gas delivery can stop at any moment. this is why the european culture asked the commission to propose an eu contingency plan in the spirit of solidarity. vonnie: global news 24 hours a day on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm vonnie quinn. this is bloomberg. yvonne: still ahead, hong kong is tackling gender imbalance on corporate boards head on. teresa and vicki explain why it matters. david: before we get to that, the highlights of a lot of the big tech earnings that came out and a preview of what is to come. beth kindig will be joining us to explain why companies are showing even minimal strength

forums are going to be agreed upon with the imf.is political future is going to be determined by the impact of this agreement, of this possible agreement. >> we are going to have to leave it there. thank you for taking the time to speak to us. the situation in the eastern part of the democratic republic of congo is becoming increasingly tense. three u.n. peacekeepers are reported to have been killed in protest together with at least 12 demonstrators. there has been growing anger directed at the u.n. amid accusations the u.n. mission is not doing enough to stop armed groups. more than 120 armed groups rome in the east. civilian massacres are common. the conflict has been displacing millions of people. more now on what the u.n. mission does. >> a tragic conclusion to protest in the drc. several demonstrators were killed on tuesday as anger boiled over the presence of the u.n. stabilizing michigan and the country -- stabilizing mission in the country. the casualties occurred in the eastern towns while 350 kilometers to the north, soldi

so this is the outlook right now it is pretty scary and that is what the imf is saying.utcomes are avoided. good to talk to you. our — outcomes are avoided. good to talk to you. our north — outcomes are avoided. good to talk to you, our north america - outcomes are avoided. good to talk to you, our north america businessj to you, our north america business correspondent there giving us the context of what is going on with the imf. let's bring us our panel now. i want to bring you in, talk me through what is going on in the united states. a a0 year high in the united states. a a0 year high in the united states, surely the average person united states this feeling the pain right now? what effect is that having?— the pain right now? what effect is that having? the pain right now? what effect is that havinu? ~ ., ., ., , ., ., that having? without a doubt. you go to the grocery — that having? without a doubt. you go to the grocery store _ that having? without a doubt. you go to the grocery store and _ that having? without a doubt. you go to the grocery store and price's - to

the imf predicts the further decline of the world economy and the contender for putin's seat, patrushevat the front pages of the world press write about, further in our international review putin orders russian soldiers to kidnap children in ukraine, the swedish newspaper auton-bladed writes about this, the publication accuses russia of yet another war crime, because putin's mercenaries continue to illegally transport children from the occupied ukrainian territories, our little lisa - american journalists of the new york post talk about the shelling of vinnytsia with enemy missiles, in particular, the article also talks about the victim of russian terrorism, lisa, while the british sander and telegraph writes that the kremlin is purposefully shelling peaceful ukrainians cities, because russia wants to sow fear among ukrainians hundreds of miles from the front line, we do not give birth to children to hide them in basements from russian missiles the first lady of ukraine, olena zelenska, in an interview with the spanish newspaper el cais, the european edition writes, however, how the war

the imf slashes its growth forecast. so close. euro traders get out their microscopes as the currency staves off parity with the dollar by 3000ths of assent. twitter sues elon musk to force him to honor his $44 billion buyout. let's take a look at the futures . after some modest gains across european equities yesterday, losses across u.s. stocks. the data coming through in terms of trade from china slightly better than the surveys had expected, than the may u.k. print in terms of gdp also beating the estimates. in terms of futures, you are looking at losses. the key data point is the inflation print. the surveys are looking at 8.8%. will it be a peak? what will it do if anything to the fed's thinking? the market pricing and 75 basis points. losses across the spanish index. the cac 40 also lower. the ftse 100 lower. andrew bailey reiterating yesterday, the 2% target is what we need to get back down to. putting in place the expectation that may you get a higher rate hike. let's move on to see how things are playing out across assets

who are not aware of what is happening to them, how happy they are, having received loans from the imfnd the hope for visa-free travel and the opportunity to soon join the european union to the host of the civilized world and convinced that all those who are now dancing, whom we see everyone watching about them, do not even imagine that they are celebrating here the moment that minute after which they will get into debts that they will never pay off. they will pay with land with their enterprises and independence. i will now read one text to you. why is the anglo-saxon world attractive to russian? wherever you go, russians first thing they start doing is building, regardless of the planned time of stay and the attitude of the local population, so it was in asia and in africa and in afghanistan but most of all and best of all. this can be seen in the example of the baltic states, as much as was built here during the time of the russian yoke, in quotation marks, cannot be comprehended by the norms of investment per capita that are customary today. factories, power plants, schools, univer

well. involves the help of the imf. how do you see that playing out?— you see that playing out?ut? well, i believe that no _ you see that playing out? well, i believe that no land _ you see that playing out? well, i believe that no land will- you see that playing out? well, i believe that no land will consider lending to a country that has no stability in terms of governance. all these lenders will be looking to see where the stability will begin again. that's very important because right now, sri lanka's economy is measured in endless queues — for petrol, for diesel, for cooking, gas and so on. and the queues are intense. mainly because three link —— sri lanka has no foreign reserves to pay for these imports. -- sri lanka has no foreign reserves to pay for these imports.— to pay for these imports. indeed. thank you — to pay for these imports. indeed. thank you so _ to pay for these imports. indeed. thank you so much _ to pay for these imports. indeed. thank you so much for— to pay for these imports. indeed. thank you so much forjoining - to pay for these imports. indeed. i than

you have to show how you will reduce your expenses and increase revenue if you go to the imf.e imf once a concrete plan but the government has been struggling and nobody is giving them fuel because of bank guarantees and their credit rating has come down. international creditors are now waiting for sri lanka to come out with a debt restructuring plan. the government, successive governments have used the money for big infrastructure projects, which did not give them enough returns. and also, because of political compulsions going for tax concessions, that reduce their expenditure so that is why they are blaming the political class. our southeast age editor, thank you for your time. —— south—east asian editor. there was lots more on our bbc website for regarding this crisis. the body of the former japanese prime minister, shinzo abe, has been taken to the capital, tokyo, a day after he was assassinated while speaking at a political campaign rally. police say an unemployed forty—one—year—old man has admitted the killing, using a homemade gun. investigators say he initially planne

but as i said, if they don't meet the demands of the imf, they are also quite wary, the imf would likeore guarantees to come forth from the sri lanka government and also would like to see an administration with a certain amount of stability. so all eyes are on those very opposition politicians who have been promising to revive the economy should they be elected to power. so this is their golden taunt. they -- opportunity. they have to ensure that talks ten and there are some good names in the opposition, some well-known economists. so one can only hope that they come on board and at least they put on the effort now in order to continue with negotiations with the imf. because if that doesn't happen, then i'm afraid -- i really don't know how it will play itself out, if sri lanka is declared a failed state because that will leave the country open to all kinds of negotiations and perhaps arm twisting which may not be to the liking of the sir lankans themselves given where they are located in the indian ocean and very strategic cross roads where shipping lanes converge. so there is likely

walk us through this warning from the imf, of course, i had of cpi today.nda: slower growth and rising unemployment. they are now looking for growth of 2.3% gdp in the u.s. this year, down from 2.9%. they are expecting unemployment to go up to around 3.7%. they said policymakers need to be focused on tackling inflation but also said the stakes are very high. they warn it is going to be very challenging for the u.s. to pull this off without tipping the economy over into a recession. it does not give any details as to why they changed their forecast. we know the consumer side of things is coming off the ball. we will get the u.s. inflation numbers tonight, which are expected to come in around 8.8% and probably reinforce views that the fed will have to hike by 75 basis points. manus: we gear up to 100 basis point, that would be a shocker. enda curran in hong kong. asian markets are higher ahead of the key u.s. cpi data later today. let's bring in annabelle droulers. a busy day for central banks. we've got jumbo hikes abound. we are waiting on data. take it awa

this is according to new figures from the imf.hey project global economic growth will slow to 3.2% this year. higher food and energy prices along with supply chain bottlenecks are expected to drive inflation higher than previous projections. the imf's the probability of a recession is nearly 15%, four times higher than usual. greater global cooperation would help improve this outlook. >> the outlook is dark. the world may soon be teetering on the edge of a global recession. amid great challenges, strengthening cooperation remains the best way to improve for all and mitigate the risk of fragmentation. anchor: russia announced it's going to quit the international space station to focus on building its own output -- post. if russia puts the iss, it will be the end of an era in space diplomacy. reporter: the future of cooperation may be in doubt. the international space station was one of the few exceptions. now, more than 20 years of partnership later, russia says it is pulling out. >> of course we will fulfill our obligations to our

the imf says the world could be heading for the worst recession in 50 years.er risk factor. russia has said it will withdraw from the international space station after 2024, ending two decades of cooperation with the united states and other countries. washington has described the announcement as unfortunate. the head of the russian space agency said moscow would instead build its own orbiting station. you are watching bbc news. time for hardtalk. welcome to hardtalk. in overturning roe versus wade, the us supreme court rejected the us supreme court rejected the argument that the us constitution guaranteed a woman's right to an abortion. now it is down to lawmakers in individual states to decide and a host of state legislators have already reacted to make abortion illegal. my guest todayis

absolutely, and there is an ongoing imf - and there is an ongoing imf negotiation currently under wayernment and the imf, a bailout has been discussed and debt restructuring which sri lanka desperately needs in order to succeed and to give sri lanka a good deal out of that, but you also have a presidency and the prime ministership that has lost all legitimacy, there is no legitimacy in those lengths of power right now. and no trust. in those lengths of power right now. and no trust-— and no trust. sorry to interrupt ou, i and no trust. sorry to interrupt you. ijust _ and no trust. sorry to interrupt you. ijust want _ and no trust. sorry to interrupt you, i just want to _ and no trust. sorry to interrupt you, i just want to let - and no trust. sorry to interrupt you, i just want to let people i and no trust. sorry to interrupt l you, ijust want to let people see those pictures and they are actually from where you are in galle. these peaceful protests. this is not violent, it's not irrational rage. it is very, very calm anger about the fact that people have not been able to eat and keep

sri lanka was put on the new liberal path with policies of the imf and the world bank.of the things we did -- [inaudible] including in agriculture, which meant became dependent for food in terms of imports. a lot of food could have been produced here but there is no food, whether it is vegetables -- all of the started to be imported. started an economy that very much even more dependent on the external sector. and that has been further accelerated after the long civil war in sri lanka which ended in 2009 that had borrowing in the international financial markets, what are called sovereign bonds. this dependency and this idea they can import our way out through debt has continued to this day. i would like even now over the last four months, even the government thinks the solution to all our problems is to go for an imf solution. i am of agreement. as if the imf can come into sri lanka and completely restructure the economy and make everything fine. in other words, ere is no discussion on the part of the government on how we as sri lankans are going to come out of this cri

but i think the imf package is not going to come from quite a while. actual money, even in the best case scenario, is estimated to take six months. what's going to happen in those six months? brent: that's a very good point. time is certainly not on the country's side for sure. we appreciate your time and insights,. thank you. ukrainian president volodymyr zelenskyy has condemned a russian missile attack far from the war's front lines, calling it an open act of terrorism. the rockets had an office block and damaged residential buildings in a central ukrainian city. at least 23 people died. about 100 more were wounded. three children are said to be among the dead. ukrainian forces claimed the attack deliberately targeted civilians in locations with no military power. reporter: russian missiles have been striking deeper into ukrainian territory. the city is in central ukraine, far from the front lines. thousands of people from the east had fled here after russia invaded. seeking safety. >> when the first rocket hit, glass fell from my windows. and when t

they are negotiating with the imf for a bailout loan.entral bank governor has said the country needs a president, governor and cabinet so that decisions can be taken and then address economic problems by talking with the imf and international creditors to restructure the existing debt of sri lanka. >> we spoke to a protester, filmmaker and director shortly after the news confirming president rajapaksa rned. >> it brings me mixed emotions. on one hand, i am very happy that people in sri lanka for the first time have realized that they can infect make a difference, and democracy can prevail. we have been involved in this for the last three or four months, a peaceful protest, avoiding all opportunities, i won't say opportunities, avoiding vionce and keeping it peaceful. and i think t people of sri lanka finally realized that it is possible to actually win democraticly paid this is a big victory. on the other hand, i am saddened that this had to come to this level. and our leaders had to bring us here and stall this process so much. even tho

for a bailout loan but because of various coalition party compulsions, people said going to the imftructuring and people would lose jobs and the government would have to cut back on welfare programmes so they didn't do it and the government sacked the then central bank governor and other top officials and reappointed a new team and then it was too late and they were depending on india's credit line for more than $2 million forfuel and on india's credit line for more than $2 million for fuel and food. i'm joined now by dr paikiasothy saravanamuttu, the founder executive director of the centre for policy alternatives in sri lanka. it isa it is a great title for your organisation but i guess from the present cosmic point of view, he really has been struggling to come up really has been struggling to come up with policy alternatives. the crisis feels so overwhelming at the moment. what is your assessment of these latest developments? what moment. what is your assessment of these latest developments?— these latest developments? what we have at the present _ these latest developments? wha

hungary would take the biggest hit, according to imf.likely to make a separate deal with russia italy is the second most exposed economy. they heavily rely on both oil and gas from russia. in fact, italy's biggest refinery is in sicily, and it's owned by the russians. italy is the largest economy in europe, about one quarter of all output, and the imf estimates it could lose 3% of its kmichl i'm sure you could find many smart people who think that estimate is way too small i know we've been kind of beating a horse here as we've said many times, energy is not part of the economy it is the economy. in many ways, economies are just taking energy and converting it to some other productive use let's be clear this is not just a europe issue. europe not only a huge manufacturer of mostly higher value goods. it is also a big buyer of the stuff that american companies produce, and in the slowdown across europe, we'll hit earnings here and maybe the stock prices of american companies. oh, by the way, it could also send the euro down against the do

the imf says the world could be heading for the worst recession in 50 years. it cut its growth forecasts, because of russia's attack on ukraine, and inflation, which is running at record levels. the imf added that the higher interest rate used to curb inflation is another risk factor. russia has said it will withdraw from the international space station after 2024, ending two decades of cooperation with the united states and other countries. washington has described the announcement as unfortunate. the head of the russian space agency said moscow would instead build its own orbiting station. now on bbc news, it's time for hardtalk. welcome to hardtalk, i'm stephen sackur. europeans are already shivering at the prospect of a full—on energy crisis this coming winter. partly, it's fallout from russia's invasion of ukraine and the disruption to supplies of oil and gas. but there is a bigger global picture. the world is still dangerously reliant on fossil fuels, even as climate change makes decarbonisation ever more urgent. my guest is boss of the international ene

the imf says the world could be heading for the worst recession in 50 years. it cut its growth forecasts because of russia's attack on ukraine, and inflation which is running at record levels. the imf added that the higher interest rate used to curb inflation is another risk factor. russia has said it will withdraw from the international space station after 2024, ending two decades of cooperation with the united states and other countries. washington has described the announcement as unfortunate. the head of the russian space agency said moscow would instead build its own orbiting station. coming up on the travel show... we are finding out what's at the bottom of venice's most popular canals. there's something really big on the line here. it looks really, really heavy. we meet the chef bringing a comforting taste of ukraine to london. welcome to my kitchen! thank you. and lucy checks out the latest tech designed to inject more fun into festival season. i just love the fact that i can film hands—free effortlessly. i can listen to music, i can make calls on thes

and that could be in about 2—3 months, then that would bring in additional foreign exchange from the imforld bank and another $1 billion from the asian development bank. so that is what we're trying to achieve over the next 2—3 months. now the big problem, and you're right to point out that this is a crisis, is what to do in the next 2—3 months — because right now, as i said, sri lanka is out of foreign exchange. just briefly, what are you hoping, or what do you expect to see happen? what needs to happen in order to get this assistance? over the next 2—3 months, what we're hoping to get, and there have been some very positive signals, is what's called bridge financing — a foreign exchange from countries like india, japan, possibly china and others, that will enable sri lanka to buy the necessary imports like fuel, food, pharmaceuticals, the fertiliser it needed until we have reached that macroeconomic programme. turning to japan for you now. japan's ruling party and its partners look to have won a super majority in upper house elections, just days after the assassination of former prime

the imf said "the outlook has darkened significantly. the world may soon be teetering on the edge of a global recession, only two years after the last one." jim and poppy, we don't know yet if a recession is in the cards, but we know that consumers are hurting right now. >> yeah. matt egan, thank you very much. jeremy diamond, thank you. let's bring in our guests now. catherine, to you. i thought there was a great piece this morning about basically if it feels like a recession, does it matter if it technically is one or not? for most people at home? and the reality is, from those consumer confidence numbers, from how much groceries cost to rent and on and on, it feels like a recession. and by the way, the imf says watch out, because the rest of the world may not be far behind. >> this is an excellent point. whether or not we are officially in a recession, and we won't know for a while, whether or not it gets that brand, consumers are very unhappy. they're feeling it because they spend more at the grocery store, more on rent, more on almo

indeed, the former chief economist at the imf has written some papers suggesting that high debts reducesto go up. britain is going to have to borrow more. that could well mean you reduce growth rather than increase it. so if you are going to make tax cuts, you really need to spell out what cuts in spending are going to go. i look across the world, there is no real clear relationship between high taxes and growth. you have scandinavian countries, sweden and denmark, norway, very high tax rates, but better growth and actually a high standard of living than britain has. what having said all of that, surely the temptation of all of these candidates saying anything just of all of these candidates saying an hin , ., of all of these candidates saying an hint , ., . , anything 'ust to get elected, 'ust to net anything just to get elected, 'ust to get through i anything just to get elected, 'ust to get through the i anything just to get elected, 'ust to get through the first i anything just to get elected, just to get through the first round i anything just to get elected, just i to get through t

we'll see how it all turns out soon sri lanka is trying to negotiate with the imf and the imf is notut we see this in the example of argentina so the program will require strict financial recovery measures that will go against with the principles of the social state and ideas in general, the role of the state in the economy is significant. so let's see how sri lanka really is. let's face it, socialist truth is not the first imf program and still sri lanka. i have never fulfilled them, i suppose the reasons are precisely in the national psychology, which is a miracle , the president of sri lanka turned to the president of russia with a request for help. how do you think it will work? it 's good that he called, of course, it would be better if he did it during the episode with the plane aeroflot a month ago, which was detained in colombo at the request of the former lessor. it is interesting that public opinion throughout the spectrum from right to left is very pro-russian and the incident by plane - this was shown by everyone was waiting for the president to solve the problem, but he

the confederation of british industry is with the imf saying tax cuts in the right medicine for now.l that fair for him? when it comes to what the conservative party members will do when they get to vote, your thoughts?— thoughts? the question is, although — thoughts? the question is, although vet _ thoughts? the question is, although vet for _ thoughts? the question is, although vet for a - thoughts? the question is, although vet for a more - although vet for a more responsible policy or go for another cheap given away? it always sounds good, this amount of income tax, but what he should do and they should do is what areas where britain is good at, the focus on the areas on those which have been successful and the answer is technology, where we sell more companies in france and germany were together, they are dotted all around the country, so don't think about levelling up, an awful amount is happening in sheffield, leeds and newcastle in the north—west. what they need is incentives for investors, domestically and externally, to go money in these companies. that will increase more j

this week we saw a new imf report that issued gloomy and uncertain forecasts for the world economy and the imf also lowered the forecasts of economic growth for the three largest economies - the united states, china and europe, the fund warned that education is on the verge of a deep recession, and the fund 's analysts and international analysts indicate that not the last role in this is attributed to the russian war, the impact of the russian war against ukraine on the world economy. this is what the american business and government say about the world economy. let's take smartphones , in the second quarter their sales fell by 11 percent. compared to last year, car production is very strong. it has been at a low level for a long time, mainly due to interruptions in the supply of spare parts, but it is holding up. there are interesting signals in global demand. in april, 0 cars were sold in shanghai. it is obvious that there are coronavirus lockdowns, but zero is already too much in europe in june. the lowest number of new cars registered since 1996. so, looking at trends, the consumer

whoever is going to come to power next, they are going to face the challenge because the loan from imf before the money can be transferred to sri lanka. so they have to work out a plan, how they are going to get foreign currency reserves so that they can address the immediate needs of the people here. at least 15 people are reported to have been shot dead in a bar in the south african township of soweto. a number of others were wounded, some of them critically. a police commissioner said it appeared that several people had entered the bar at random, and began shooting at drinkers inside. and in the country's east, four people were also killed during a shoot—out in a bar in pietermaritzburg on saturday night. the bbc�*s africa correspondent andrew harding spoke to me from outside the tavern a short time ago. you've joined me outside the tavern where those 15 men were shot dead last night. a group of armed men walked injust after midnight, and we're told they calmly began to shoot randomly at everyone inside the tavern. you can see it perhaps now just behind me there, behind the police l