THE International Monetary Fund (IMF) cut its global growth outlook by the largest amount since the start of the Covid crisis, predicting increased inflation thanks to Russia's invasion of Ukraine and the current Chinese Covid lockdowns, reports Caixin.
Global expansion will slow to 3.6 per cent in 2022, down from a forecast of 4.4 per cent in January before the war, the imf said in an update to its World Economic Outlook.
That compares with 6.1 per cent growth in 2021. The institution also lowered its growth projection for 2023 to 3.6 per cent from a previous 3.8 per cent.
The fund sees inflation for this year at 5.7 per cent in advanced economies and 8.7 per cent in emerging and developing countries, significantly higher than just a few months ago.
The pace of consumer-price increases is expected to slow to 2.5 per cent in advanced economies and 6.5 per cent in developing countries in 2023. The IMF cited a rising risk that inflation expectations become unanchored, prompting more-aggressive central bank tightening.
SeaNews Turkey
Global expansion will slow to 3.6 per cent in 2022, down from a forecast of 4.4 per cent in January before the war, the imf said in an update to its World Economic Outlook.
That compares with 6.1 per cent growth in 2021. The institution also lowered its growth projection for 2023 to 3.6 per cent from a previous 3.8 per cent.
The fund sees inflation for this year at 5.7 per cent in advanced economies and 8.7 per cent in emerging and developing countries, significantly higher than just a few months ago.
The pace of consumer-price increases is expected to slow to 2.5 per cent in advanced economies and 6.5 per cent in developing countries in 2023. The IMF cited a rising risk that inflation expectations become unanchored, prompting more-aggressive central bank tightening.
SeaNews Turkey
