IMF stated that US-China trade war will cut 2019 global growth to its slowest pace since the 2008-2009 financial crisis.

The IMF said its latest World Economic Outlook projections here show 2019 GDP growth at 3.0%, down from 3.2% in a July forecast, largely due to increasing fallout from global trade friction.

The global crisis lender said that by 2020, announced tariffs would reduce global economic output by 0.8%. That translates to a loss of about $700 billion — the equivalent of making Switzerland’s economy disappear.

The growth downgrade assumes that all announced U.S. tariffs on Chinese goods are put in place, along with Chinese retaliation. These include a 5 percentage point U.S. duty increase on Chinese goods originally scheduled for Tuesday and 10% tariffs on $156 billion in Chinese goods scheduled for Dec. 15.

For 2020, the Fund said global growth was set to pick up to 3.4% due to expectations of better performances in Brazil, Mexico, Russia, Saudi Arabia and Turkey. But this forecast was a tenth of a point lower than in July and was vulnerable to downside risks, including worse trade tensions, Brexit-related disruptions and an abrupt aversion to risk in financial markets.

The UAE rolled out the red carpet for Russian President Vladimir Putin during his landmark visit to the country on Tuesday. The Aurus Senat, the presidential state car of Russia, was escorted to Qasr Al Watan in Abu Dhabi by a cavalry mounted on Arabian horses.

Putin and his accompanying delegation drove through streets that were lined with the flags of the two countries. Overhead traffic signs displayed messages in the Russian language.

A 21-gun salute was accorded to the special guest, who is visiting the UAE after a period of 12 years. The UAE Air Force aerobatic display team, Al Fursan, flew over the palace, painting the sky in Russian national colours. As he reached the palace, Emiratis carrying the Russian flag put up a traditional music performance.

His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, received the Russian president. The two leaders – who are known to share a close bond – walked through the palace, where students cheered them on by waving the flags of both countries.

The two sides exchanged views on regional and international developments, focusing on the Gulf and Middle East region, as well as discussions of a political, security, and economic nature of interest to both parties.

Sheikh Mohamed conveyed the greetings of the President, His Highness Sheikh Khalifa bin Zayed Al Nahyan, to President Putin. He affirmed that the UAE-Russia ties have “strong foundations based on mutual trust and respect, further bolstered by various exchange visits”.

He added that the UAE is keen on further developing relations with Russia across multiple sectors.