Global growth appears to have bottomed out but there is no rebound in sight and ...
WASHINGTON/DAVOS - Global growth appears to have bottomed out but there is no rebound in sight and risks ranging from trade tensions to climate shocks makes the outlook uncertain, a top International Monetary Fund official said on Monday.
With trade wars weighing on exports and investment, the global economy expanded by 2.9% last year, its slowest pace since the global financial crisis, despite near synchronized central bank easing that added half a percentage point to global growth. The IMF now sees growth at 3.3% this year, below its October projections for 3.4% and also cut the 2021 forecast to 3.4% from 3.6%.
The Fund said that an easing of tensions between the United States and China, which had stunted GDP growth in 2019, had boosted market sentiment, amid “tentative” signs that trade and manufacturing were bottoming out.The Fund’s cautious outlook assumes that there are no additional flare-ups in U.S.-China trade tensions but Georgieva warned that the root cause of the problem is not yet fixed.
But the Fund did not give a boost to its U.S. growth forecast for China’s pledges to increase purchases of U.S. goods and services by $200 billion over two years. Instead, the IMF said 2020 U.S. growth would be 0.1 percentage point lower than forecast in October, at 2.0% because of the fading stimulus effects from 2017 tax cuts and the Federal Reserve’s monetary easing.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
China revises up GDP growth for 2014-2018, on track to double economyChina has revised up its economic growth by 0.1 percentage points each year betw...
Read more »
Djokovic crosses fingers for clean air at Melbourne ParkDefending champion Novak Djokovic says he was saddened by the sight of players a...
Read more »
The 'Stranger Things' Cast Makes a Rare Group Red Carpet AppearanceThe 'Stranger Things' Cast Makes Rare Group Red Carpet Appearance SAGAwards
Read more »
Djokovic crosses fingers for clean air at Melbourne ParkDefending champion Novak Djokovic says he was saddened by the sight of players a...
Read more »
I've Worn Hair Extensions for 14 Years—These Are the Top 8 Brands to Shop for BundlesShop the best online hair extension brands for clip ins, wefted hair, and faux bangs.
Read more »
China confident of stabilizing industrial growth in 2020China is confident of maintaining steady industrial growth this year despite big...
Read more »