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The World Bank has slashed its annual forecast for global economic growth, warning that some countries are facing a major recession because of Russia's war in Ukraine and coronavirus.
The bank said eastern Africa and some parts of Europe were particularly affected.
It said there was a real risk that stagflation - a combination of high inflation and low growth - could return for the first time since the 1970s, spurred by increases in food and fuel prices.
Speaking to the BBC, the bank's head, David Malpass, said it was difficult to see the other side of the crisis.
He said some developing countries were facing ballooning debt, with governments unable to purchase goods.
The bank's new global growth forecast - 2.9% - represents the sharpest deceleration in 80 years.
