IMF Updates World Growth Figures
The International Monetary Fund has predicted world growth to rise by 2.2% in 1999, the same as estimated growth in 1998.
This is down from its prediction of only three months ago of world growth for 1999 rising 2.5%. Whilst the IMF is playing down the likelihood of a global recession they are expecting growth in the major industrial economies to slow to 1.5% in 1999, down from 2.1% this year. They are predicting that the US will record growth of only 1.8% in 1999 compared to the 1998 figure of 3.6%.
Good news for the Australian economy, especially with commodity prices at all time lows, is that Japan is expected to improve its level of growth from –2.8% in 1998 to –0.5% in 1999.