The World Bank has lowered its annual global growth forecast for this year by a nearly one percentage point amid record levels of inflation and the war in Ukraine.

World Bank President David Malpass announced in a conference call on Monday that the international lender slashed its 2022 growth forecast from four-point-one percent to three-point-two percent.

The president reportedly said the World Bank will respond to the economic stresses from the war by proposing a new 15-month crisis financing scheme of around 170 billion U.S. dollars.

Malpass expressed deep concerns about severe economic distress in developing countries, saying that they are facing sharp rises in energy, fertilizer and food prices.

The International Monetary Fund is also expected to cut its global growth forecast on Tuesday.