WORLD - IMF Predicts Global Economic Collapse

Arno Froese

The International Monetary Fund painted a bleak portrait of the global economy, saying the coronavirus pandemic has caused more widespread damage than expected and will be followed by a sluggish recovery.

The global economy will shrink this year by 4.9%, worse than the 3% decline predicted in April, the IMF said.

No major economy is escaping the pandemic. The U.S. economy, the world's largest, is expected to shrink this year by 8%. Countries that use the single European currency are headed for a decline of more than 10% while Japanese output will fall by 5.8%, the IMF said.

The Chinese economy, suffering the twin ravages of the pandemic and the trade war with the U.S, is projected to eke out just a 1% gain—its worst performance in several decades.

Kristalina Georgieva, the fund's managing director, called the pandemic recession “a crisis like no other” and said that by the end of this year, an unprecedented 170 countries would see average individual incomes fall., 24 June 2020

Arno's commentary

It is significant that no country is exempt. This is truly a global issue. While in some places, nationalism came to the forefront, the bottom line still remained: everyone is involved, every country has to take precautionary steps and, in the end, will suffer. 

Will this cause a “global economic collapse”? Not very likely.

What does the Bible say? Revelation 18 speaks of the mystic Babylon, which represents the entire world. It speaks of the economic system and calls it “fornication.” Why? The Greek word is porneia, which simply means a marital act outside a marriage—in other words, fake. How is our economic system built? Again, we may use the word fake. It is based on advertising, promotion, and propaganda; unrealistic promises made without proof of truth. In olden days, money had a literal, physical value based on gold, silver, and other precious metals or stones. These things could purchase products, agricultural or industrial. Today, that is no longer the case; money is literally made out of thin air. For example, a bank borrows $1 million from the Federal Reserve, and is lawfully entitled to lend $10 million to customers; thus, creating $9 million out of thin air. 

When one watches the promotion of products on TV or other media platforms, it is obvious how they vastly exaggerate the value of the product presented, without actual proof. Even services such as insurance and lawyers are grossly overestimated. They are mostly fake—“fornication.”

One day this system is going to collapse, and what is written in Revelation 18:19 will take place: “And they cast dust on their heads, and cried, weeping and wailing, saying, Alas, alas that great city, wherein were made rich all that had ships in the sea by reason of her costliness! for in one hour is she made desolate.” 

Arno Froese is the executive director of Midnight Call Ministries and editor-in-chief of the acclaimed prophetic magazines Midnight Call and News From Israel. He has authored a number of well-received books, and has sponsored many prophecy conferences in the U.S., Canada, and Israel. His extensive travels have contributed to his keen insight into Bible prophecy, as he sees it from an international perspective.

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