WASHINGTON—World Bank President David Malpass on Wednesday warned that it could take years for global energy production to diversify away from Russia after its invasion of Ukraine, prolonging the risk of stagflation, or a period of low growth and high inflation.
In a speech at Stanford University, Malpass said there was an increased likelihood of recession in Europe, while China’s growth was slowing sharply and U.S. economic output had contracted in the first half of the year.
Those developments would have grave consequences for developing countries, Malpass said, citing what he called “consequential” and “worsening” challenges facing development….