Author Name: Shweta Suri

The financial crisis has become an economic downturn said the president of World Bank, Robert B. Zoellick. He also added that the global financial crisis have hit international trade.

International trade is usually financed by credit, but because the banks have become cautious of financial deals, the situation has turned tighter. Zoellick said that, the situation would further worsen with the increase in food and fuel crisis.

World Bank president said, \"People start out with a sense of confusion and then there\'s a sense of frustration about this occurring frankly, there is anxiety and fear, which can also spill out into anger.\" He also emphasised that this situation will affect both advanced and emerging economies. It is expected that this economic slowdown would ultimately lead to unemployment crisis. The president also warns that with the increase in the unemployment levels, could load to social discontent and the poorest section of an economy would become most vulnerable.