IMF predicts sluggish global growth

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.

The IMF now sees growth at 3.3 percent this year, below its October projections for 3.4 percent and also cut the 2021 forecast to 3.4 percent from 3.6 percent.

The IMF upgraded China’s 2020 growth forecast by 0.2 percentage points to 6.0 percent because the U.S. trade deal included a partial tariff reduction and cancelled tariffs on Chinese consumer goods that had been scheduled for December.

Instead, the IMF said 2020 U.S. growth would be 0.1 percentage point lower than forecast in October, at 2.0 percent because of the fading stimulus effects from 2017 tax cuts and the Federal Reserve’s monetary easing.

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Article source: https://www.dailystar.com.lb//Business/International/2020/Jan-21/499616-imf-predicts-sluggish-global-growth.ashx