VEB.RF expects world to suffer from debt crisis in 2023–2024

VLADIVOSTOK, Sep 6 (PRIME) -- The global economy will undergo a serious debt crisis in 2023–2024 that may grow into a banking crisis in the future, Sergei Storchak, senior banker at Russian state development institution VEB.RF, told PRIME on Tuesday on the sidelines of the Eastern Economic Forum.

“I expect the global economy to suffer from a serious debt crisis that may eventually transform into a banking crisis,” he said.

The main reason for that comes from a change in the structure of loans when non-banking financial mediators like insurance companies and pension funds become the largest creditors in developed and developing economies, he said.

Russia and its companies would adapt to the new conditions, to the strong ruble, and to parallel imports. “I am sure that the process of adaptation will finish without serious disruptions given the government’s support,” he said.

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