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8/26/08

FinFacts: International Monetary Fund cuts its forecasts for 2008 and 2009 world economic growth

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International Monetary Fund cuts its forecasts for 2008 and 2009 world economic growth

International Monetary Fund cuts its forecasts for 2008 and 2009 world economic growth

The International Monetary Fund has cut its forecasts for 2008 and 2009 world economic growth, mainly due to a revision in the outlook for the Eurozone, an official of the G20 group of developing countries said yesterday.The IMF now projects 2009 growth of 3.7 per cent, down from 3.9 per cent, in a briefing prepared for a meeting of deputy finance ministers of the Group of 20 (G20) emerging and industrialised economies to be held in Rio de Janeiro on Saturday.

“Commodity prices will remain high and volatile... market turbulence will go on through 2009,”said the official, adding that the IMF saw the world economy slowing further in the second half of the year.

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