The International Monetary Fund, an international organizer and statistician for macroeconomic variables, says that the world economy has come to what appears to be a standstill, and will continue to for the remainder of 2009 citing reports of more than $2 trillion in toxic assets eating away at progress in the international financial system.

Growth prediction for the international economy for this year is sitting at just 0.5 per cent, a downward revision from the 1.7 per cent growth they predicted late in 2008 and the lowest number since the Great Depression, and a serious indicator to the withdrawal of economic development across large and small economies alike.

The reports published by the IMF said that restricted credit at both corporate and personal levels was directly responsible for the reduced growth this year, additionally, likelihood of job losses and further damage could hit nearly 50,000,000 people this year.

The report seriously pushed for international economies and governments to band together and engage in swift and decisive monetary and fiscal action.

“We think that more decisive action is needed now by both policymakers and market participants, and with greater emphasis on balance sheet cleansing,” said Jaime Caruana, Financial Counsellor of the IMF.

As a positive note, the IMFs report did expect a rebound to nearly 3 per cent growth in 2010.

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