AMID rising protectionism, vulnerable emerging markets and record debt levels, the International Monetary Fund (IMF) will hold its annual meeting this week in earthquake-stricken Indonesia and shine a light on tremors in the global economy.

Finance ministers and central bankers from 180 nations will be among 32,000 attendees in Bali for the annual meeting of the International Monetary Fund and World Bank, which takes place every three years outside of Washington. The gathering will be held from Tuesday to Sunday.

The trade war launched by U.S. President Donald Trump against China, along with disputes with allies like the European Union, Mexico and Canada, is a key source of concern.

The dispute caused a proliferation of protectionist measures in recent months that is weighing more and more on international trade.

Trump has imposed tariffs on US$250 billion of annual imports from China, while China countered by imposing punitive duties on US$110 billion of U.S. products.

Washington also has imposed steep tariffs on steel, aluminum, washing machines and solar panels, drawing retaliation from Canada, Mexico and others.

Like the OECD, which lowered its economic growth forecast for the world economy to 3.7 percent for 2018, IMF chief Christine Lagarde signaled the fund would cut the outlook which in July stood at 3.9 percent.

After sounding the alarm in recent years about threats to the global economy, Lagarde said last week “some of those risks have begun to materialize” and “there are signs that global growth has plateaued.”

The rise in trade barriers is slowing trade, and dampening investment and manufacturing as uncertainty increases, she said.

And she repeated the warning about rising debt levels which “reached an all-time high of US$182 trillion — almost 60 percent higher than in 2007.”

That creates concerns for emerging market economies which will come under increased pressure as the U.S. central bank raises interest rates, while investors are likely to pull out of those markets seeking higher returns.

Argentina and Turkey already have been hit by headwinds, seeing their currencies collapse and forcing Buenos Aires to go the IMF for help.

The fund recently increased support for Argentina by US$7 billion to US$57 billion in exchange for tough economic policy reforms, although the loan has not yet been approved by the IMF board.

Group of 20 finance ministers also are due to meet in Bali on the sidelines of the IMF meeting to discuss topics such as U.S. sanctions against Iran or taxes on digital giants. (SD-Agencies)