IMF upgrades outlook for global economy

The International Monetary Fund (IMF) raised its outlook for the global economy, pointing to solid economic growth and slowing inflation in the United States in particular, and said it was likely to avoid a hard landing.

IMF I said I was looking forward to it. The global economic growth rate in 2024 is expected to be 3.1%, further accelerating from the 2.9% forecast in October.

“The clouds are beginning to part. The global economy is beginning its final decline towards a soft landing, with inflation steadily declining and growth sustained,” the IMF said in a report. “However, the pace of expansion remains slow and there may be disruption ahead.”

The IMF predicts that global inflation will fall to 4.9% in 2024. In developed countries, he said, the IMF predicts that inflation will average around 2.6%.

The IMF also raised its outlook for the US economy.

The IMF said in October that it had expected the U.S. economy to grow 1.5% in 2024, but now expects it to grow 2.1%.

The economy grew 2.5% last year, the Associated Press reported, as year-end growth was driven by consumers spending more despite higher borrowing costs.

The IMF revised its forecast, but said it still expected growth to slow in the United States and China as tight monetary policy “has an impact on the economy” and “consumption and investment continue to weigh on activity.” The IMF expects economic activity in Europe to recover after a difficult 2023. Brazil, India and Southeast Asia are also showing “significant resilience”, the report said.

The IMF’s forecast comes on the heels of the World Bank predicting that the global economy will slow for the third consecutive year in 2024, with the global economy expected to grow by 2.4% this year, but the U.S. growth rate at just 1.6%. predicted.

The World Bank said high interest rates make it difficult for developing countries to borrow money, which slows investment and growth. The group said the U.S. economy is expected to lift the slump in other countries.