Arab Today, arab today imf cuts global economic forecast amid slower growth in emerging economies
Last Updated : GMT 05:49:56
Arab Today, arab today
Arab Today, arab today

IMF cuts global economic forecast amid slower growth in emerging economies

Arab Today, arab today

Arab Today, arab today IMF cuts global economic forecast amid slower growth in emerging economies

Washington - XINHUA

The International Monetary Fund (IMF) on Tuesday cut its growth forecast for the world economy to 3.1 percent in 2013, 0.2 percentage point lower than its April projection, due to slower expansion in several key emerging market economies. The slower growth of the global economy was \"driven to a large extent by appreciably weaker domestic demand and slower growth in several key emerging market economies, as well as by a more protracted recession in the euro area,\" the IMF said in the updates of its flagship World Economic Outlook (WEO) report. The Washington-based global lender also revised down its forecast for the world economic growth in 2014 to 3.8 percent, 0.2 percentage point lower than its April estimate. \"Downside risks to global growth prospects still dominate: while old risks remain, new risks have emerged, including the possibility of a longer growth slowdown in emerging market economies, especially given risks of lower potential growth, slowing credit, and possibly tighter financial conditions if the anticipated unwinding of monetary policy stimulus in the United States leads to sustained capital flow reversals,\" noted the report.

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