Deputy Finance Minister called the pre-crisis situation in the global economy

Deputy Finance Minister Sergei Storchak warned about the impending crisis in the global economy. In his opinion, the world economy slid into a pre-crisis state, and blame the growth of global debt, increasing the debt to record levels by individual countries.

the global economy fell in the fourth wave of credit expansion, said Storchak. This wave of increasing debt countries is unique, and the rate of increase in debt, and its size.

“Financial uncertainty, although it may be more accurately we could say that this situation pre-crisis,” — said Storchak at the scientific-practical seminar “On the stabilizing role of development banks in crisis” (quoted by TASS).

All because of low interest rates and loose monetary policies of major economies in the world.

for Example, USA is not the first surprise the world with their debt – it is larger than 23 trillion dollars. The dangers of the growth of global debt and warned of an international organization.

world Bank warns of the appearance on the horizon of a new crisis due to the record rate of increase in debt over the last 50 years.

According to the latest data of the Institute of international Finance (IIF), the ratio of global debt to GDP reached a record level of 322 per cent in the third quarter of 2019 and the overall debt increased by $ 10 trillion compared to the same period last year to 252,6 trillion dollars. On the assessment of the IIF global debt will continue to grow and will exceed 257 trillion dollars in the first quarter of 2020.