Global recession in next two years is 'most likely' scenario, says economist

Willem Buiter, chief economist at Citi and former Bank of England policymaker, warns China's woes are set to spread

A "hard landing" for China is likely to plunge the world economy into recession in the next two years, Willem Buiter, chief global economist at Citigroup and a former Bank of England policymaker, has said.

As the Federal Reserve in Washington prepares to decide whether to defy warnings of economic fragility and push up interest rates next week, a research note by Citi's experts warns of a 55% probability of global recession.