FRANKFURT (MNI) – The world economy is expected to grow by 3.3%
this year and 3.6% in 2013, according to the International Monetary
Fund, marking downward revisions of 0.1 and 0.3 points respectively from
its July forecast, German business daily Handelsblatt reported Friday.
Eurozone GDP is seen contracting 0.4% this year and growing just
0.2% next year, which is downwardly revised from July’s predictions of
-0.3% this year and +0.7% in 2013, according to excerpts of the IMF’s
World Economic Outlook obtained by Handelsblatt. The WEO is to be
released Tuesday.
The IMF says in the report that downside risks to world growth have
increased and are particularly dependent on the right policy steps being
taken in the Eurozone and the United States to restore trust, according
to the paper. The IMF also expects a continued decline in inflation
rates and suggests more monetary policy easing.
China is seen growing at 8.2% in 2013, revised down 0.2 points from
its July forecast. India can expect 6.0% growth next year (down 0.6
points) and Brasil 4.0% (down 0.7 points) in 2013.
Handelsblatt reported Thursday that the IMF was projecting 0.9%
growth for the German economy this year and next, a reduction from its
July forecasts of +1.0% and +1.4%, respectively.
–Frankfurt bureau tel: +49-69-720-142. Email: ccermak@mni-news.com
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