The international lender expects an overall economic contraction of 7.3 percent in Mideast oil exporting countries this year due to hits from the coronavirus outbreak and oil market turmoil.
As angry protesters attack banks across Lebanon, the new government in Beirut and the central bank’s governor remain at odds over tackling the economic crisis.
Novel coronavirus has infected 10 million people and claimed close to half a million lives around the world. Here are the updates for June 27:
The currency crisis is part of a wider economic meltdown that poses the biggest threat to the stability of import-reliant Lebanon since the 1975-90 civil war.
President Michel Aoun cautions against bids to destabilise "security and the street" after angry protests over the Arab country's economic crisis.
Henri Chaoul, financial adviser to the government in talks with the International Monetary Fund, said politicians, monetary authorities, and the financial sector embark on a "populist agenda", "opting to dismiss the magnitude" of losses.
The government approved its recovery plan last week, announcing that it would form the basis of negotiations with the International Monetary Fund for aid.
Even after pledges of support from bilateral, multilateral and private creditors, the continent faced a gap of around $44 billion, officials said.
Pakistan has reported just over 100 coronavirus-related deaths but experts have warned that the country of 215 million people could see a rapid and devastating increase due to its shortage of medical infrastructure and crowded cities.
"It is clear that we have entered a recession" that will be worse than in 2009 following the global financial crisis, IMF chief Kristalina Georgieva said.
As fears of a global recession grow as a result of the Covid-19 spread, African countries, along with the World Bank, have issued calls for a moratorium on debt payments.
The global lending institution is meant to foster economic cooperation but has come under criticism for being biased in the wake of a terrible pandemic spreading across the globe.
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