IMF: global economic growth will remain weak

Views 27 Date 10/05/2016 - 15:10

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The IMF kept its forecast for the growth of a weak global economy, Wednesday, warning that the more that the slowdown will feed into feelings of anti-trade and immigration, which could hinder the activity, productivity and innovation.

The IMF said in its latest report of the World Economic Outlook that the decline in the growth of the United States in 2016 because of poor performance in the first half offset by growth-promoting in Japan, Germany, Russia, India and some other emerging markets.

The fund maintained its forecast for total global growth unchanged at 3.1 percent in 2016 and 3.4 percent in 2017 after it cut its forecast for five consecutive quarters.

The Fund said that advanced economies will see a slight decline of growth in 2016 to 1.6 percent, while emerging market economies will see a slight rise to a growth rate of 4.2 percent.

The United States contributes most of the slowdown in the advanced economies, while reducing their growth forecast to 1.6 percent from 2.2 percent in July, estimates of where the weakness of investment and withdrawals from inventories goods activities led to a performance below expectations in the first half.

And improved IMF forecast growth of Japan's economy was slightly delayed because of the pace of increased consumption and monetary policy expansionary government spending tax but the economy will grow at a rate of 0.5 percent is weak in 2016 and 0.6 percent in 2017.

And pushed resilient consumer spending in Britain after the vote in favor of the exit from the EU fund to raise its forecast for growth of 0.1 percentage points to 1.8 percent, but cut its forecast for growth in 2017 to 1.1 percent due to expectations that the separation talks over the past two and a half year, arrivals will shed greater effects on investment in the country .

And continued growth forecast for China unchanged at 6.6 percent in 2016 and 2.6 percent in 2017, while India's growth will improve slightly to a pace of 7.6 percent in both years.

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