Accessibility links

Breaking News

IMF Reduces Global Growth Forecast, Predicts 'Mild' Eurozone Recession


The International Monetary Fund (IMF) has reduced its projection for global financial growth in 2012 and predicts the debt-plagued eurozone will fall into a "mild recession."

In an update to the forecast it issued last September, the IMF reduced growth projections for the year by 0.7 percent to 3.3 percent.

Olivier Blanchard, the IMF’s economic counsellor, said global recovery from recession has been weak in the first place, but "is in danger of stalling."

He said the "epicenter of the danger is Europe, but the rest of the world is increasingly affected."

Along with the eurozone debt crisis, the IMF also said the market impact of increasing fears about Iranian oil supplies would be "large."

Earlier this month, the World Bank also downgraded its growth forecast for 2012 by more than 1 percent, to 2.5 percent.
with agency reports
  • 16x9 Image

    RFE/RL

    RFE/RL journalists report the news in 26 languages in 22 countries where a free press is banned by the government or not fully established. We provide what many people cannot get locally: uncensored news, responsible discussion, and open debate.

XS
SM
MD
LG