IMF says global economy remains 'low and uneven'
STORY: The International Monetary Fund (IMF) on Tuesday (October 10) said overall global growth remained low and uneven.
That’s despite what it called the "remarkable strength" of the U.S. economy.
It also cut its growth forecasts for China and the euro zone.
In its latest World Economic Outlook (WEO) it did leave its forecast for global real GDP growth in 2023 unchanged at 3%.
But it cut its 2024 forecast to 2.9%.
That compared to 2022, where world output grew 3.5%.
IMF chief economist Pierre-Olivier Gourinchas said the global economy continued to recover from the health crisis, Russia's invasion of Ukraine and last year's energy crisis.
However, he noted that growth trends were divergent across the world.
Gourinchas listed risks the IMF remain concerned about.
These included the real estate crisis in China, volatile commodity prices, a resurgence in inflation and geopolitical fragmentation.
And the Israel-Palestinian conflict emerged as a fresh risk as finance officials sat down for the annual IMF and World Bank meeting.
Gourinchas told Reuters it was too early to say how the major escalation in the long-running conflict would affect the global economy.
The global medium-term growth forecast didn’t look much brighter at 3.1% in 2028.
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