IMF chief highlights inflationary pressure, debt servicing challenges and AI financing concerns

Kristalina Georgieva emphasized that persistent price rises and mounting debt‑service costs are straining the global economy. Central banks are likely to keep rates high to anchor inflation expectations, while governments struggle to rein in spending. The IMF flagged rapid expansion of AI funding as a new source of financial vulnerability, particularly in the United States, where large‑scale AI financing could become a shock absorber if projects underperform.