301 0 0 3 min to read

The IMF has reduced its global growth forecast for 2021 to 5.9 percent

According to a study released on October 12, 2021, the International Monetary Fund (IMF) lowered its global economic growth forecast for 2021 to 5.9 percent, a 0.1 percentage point decrease.

In its World Economic Outlook, the IMF maintained its forecast for 2022 at 4.9 percent, unchanged from the last update published in July.

The IMF said, referring to pandemic-caused longer-than-expected supply constraints, that “โ€ฆrisks to economic prospects have risen, and policy trade-offs have become more complicated.”

It emphasized that the economic prognosis for low-income developing countries has substantially deteriorated owing to “worsening epidemic dynamics,” while supply disruptions make the advanced economy group’s near-term prospects more challenging.

The advanced economies are expected to expand by 5.2 percent this year, a 0.4 percentage point decrease from the previous estimate.

The IMF predicted that global growth will slow to 3.3 percent in the medium term (beyond 2022).

As a result of anticipated governmental assistance in the United States, advanced economy production is expected to surpass pre-pandemic medium-term forecasts.

“By contrast, sustained production losses are expected for the emerging market and developing countries group owing to slower vaccine rollouts and usually less governmental assistance compared to advanced economies,” the report said.

The IMF expects pricing pressures to ease next year as a result of increasing inflation caused by supply-demand mismatches and increased commodity prices.

The worldwide body increased the Turkish economy’s growth estimate for 2021 to 9% from 5.8 percent, while keeping the figure for next year at 3.3 percent.

The IMF forecasts the US economy’s growth rate to increase by one percentage point to 6% in 2021. The world’s second-largest economy, China, is projected to grow by 8% this year, a 0.1 percentage point decrease from last year.

The fund forecasted 5% growth in the eurozone in 2021, up from 5.4 percent in the July report.

QR Code

Save/Share this story with QR CODE


Disclaimer

This article is for informational purposes only and does not constitute endorsement of any specific technologies or methodologies and financial advice or endorsement of any specific products or services.

๐Ÿ“ฉ Need to get in touch?

Feel free to Email Us for comments, suggestions, reviews, or anything else.


We appreciate your reading. ๐Ÿ˜ŠSimple Ways To Say Thanks & Support Us:
1.) โค๏ธGIVE A TIP. Send a small donation thru Paypal๐Ÿ˜Šโค๏ธ
Your DONATION will be used to fund and maintain NEXTGENDAY.com
Subscribers in the Philippines can make donations to mobile number 0917 906 3081, thru GCash.
3.) ๐Ÿ›’ BUY or SIGN UP to our AFFILIATE PARTNERS.
4.) ๐Ÿ‘ Give this news article a THUMBS UP, and Leave a Comment (at Least Five Words).


AFFILIATE PARTNERS
LiveGood
World Class Nutritional Supplements - Buy Highest Quality Products, Purest Most Healthy Ingredients, Direct to your Door! Up to 90% OFF.
Join LiveGood Today - A company created to satisfy the world's most demanding leaders and entrepreneurs, with the best compensation plan today.


0 0 votes
Article Rating
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments
0
Would love your thoughts, please comment.x
()
x