The global economy has been slowing in recent months. In its latest report (April 2019), the International Monetary Fund (IMF) reduced its forecast for global growth for 2019 to 3.3% (down from 3.5%), while it maintained its growth forecast of 3.6% for 2020 (growth was also 3.6% in 2018). The better outlook for next year is based on the IMF’s forecast that ‘a pickup is expected in the second half of this year’, due to ‘significant policy accommodation by major economies, made possible by the absence of inflationary pressures’. In particular, earlier this year, ‘the US Federal Reserve, in response to rising global risks, paused interest rate increases and signalled no increases for the rest of the year’, while ‘the European Central Bank, the Bank of Japan and the Bank of England have all shifted to a more accommodative stance’….
Please download the full Economic Commentary report for April 2019 below.
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