IMF keeps global GDP forecast constant at 3% for 2023, lowers for 2024

The International Monetary Fund (IMF) on Tuesday announced that it kept its GDP growth forecast for the global economy constant at 3% for 2023, but lowered its expectation for 2024 by 0.1 percentage points to 2.9%.

The institute’s growth expectation for the advanced countries were unchanged at 1.5% and 1.4% for 2023 and 2024, respectively, the IMF said in a report.

Emerging markets’ GDP growth is expected to be at 4% for both 2023 and 2024, while the fund’s previous forecast, in July, was at 4.1% for 2024.

The euro area is expected to grow 0.7% in 2023, down 0.2 percentage points, and 1.2% in 2024, down 0.3 points.

Among major eurozone economies, Germany is expected to narrow 0.5% this year and grow 0.9% next year, while both expectations dropped.

The IMF’s forecasts for the US economy were 2.1% this year and 1.5% next year, both showed a rise from the previous report.

The Chinese economy is expected to grow 5% this year and 4.2% in 2024, while these figures were at 2.2% and 1.1% for Russia, respectively.

The IMF also lowered its forecast for world trade growth volume from 2% to 0.9% for this year and from 3.7% to 3.5% for the next year.