She believes that Britain’s exit from the EU already cast shadows over international growth, and traveling of new barriers to trade in another economy would FFA devastating effects .
– I think it would be absolutely catastrophic indeed. Well, I think maybe I should not say catastrophic because it is an exaggerated word and I should refrain from exaggerated words. But it would definitely have a negative effect on global growth, said the IMF chief told the newspaper.
Christine Lagarde avoided in the interview to mention Donald Trump by name, but the Financial Times writes that one of her message is that all the uncertainty around the Republican candidate’s presidency would likely lead to more instability in the financial markets, similar movements after the British referendum.
– I hope this is not a 1914-step and I hope that we can learn from history to actually deal with the negative effects of globalization in order to reap the fruits that can actually give. For it has historically delivered massive benefits and continues to do so, said the IMF chief.