Reuters with the headlines:
- IMF cuts 2015 global growth forecast to 3.5% (from 3.8% in October)
- Lowers global growth forecast to 3.7 pct for 2016, from 4 percent in October
- Raises 2015 growth forecast for advanced economies to 2.4 pct, from 2.3 pct in october, 2016 unchanged at 2.4 pct
- Cuts 2015 emerging market growth forecast to 4.3 pct vs 5 pct in October, also cuts 2016 forecast to 4.7 pct from 5.2 pct
- Raises 2015 US growth forecast to 3.6 pct vs 3.1 pct in October , only major economy to see upward revision
- Cuts China 2015 growth forecast to 6.8 pct from 7.1 pct, predicts Beijing to limit policy stimulus to curb credit, investment risks
- Says falling oil prices, weaker yen and euro to boost global growth but offset by broader weakness
- Sees divergence between commodities importers and exporters, dollar-linked countries to fare worse while those tied to yen and euro will benefit
- Advises structural reforms in all countries to boost growth, pinpoints reforms in energy subsidies and taxes
- Tells advanced economies to keep monetary policy accomodative to fight deflation risk, not raise real interest rates, use other means if policy rates cannot be reduced further
- Says lower oil prices lessen inflation pressure and reduce external vulnerabilies, gives emerging market central banks room to delay raising policy rates
- Cuts 2015 growth forecasts most for Russia, Nigeria, Saudi Arabia
The full report is available from here: World Economic Outlook (WEO) Update
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Added … the Financial Times (via FastFT, subscription required) is up with a few quick takes on the IMF report. There opeing line is a crakcer!
- If there was a pervasive theme in the International Monetary Fund’s latest World Economic Outlook, it was gloom.
