IMF says recession 'not in our baseline' as it raises global growth forecasts

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IMF says recession 'not in our baseline' as it raises global growth forecasts
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'2023 could be the year of turning points, with growth bottoming out and inflation decreasing,' IMF chief economist says.

The IMF expects global growth to slow from 3.4% in 2022 to 2.9% this year — up from the 2.

evere health outcomes in China could hold back the recovery, Russia’s war in Ukraine could escalate and tighter global financing costs could worsen debt distress."Labor markets are tight, household spending and business investment remain strong, and European economies proved quite resilient against the energy crisis," he added.

"The slowdown will be more pronounced for advanced economies. China and India will account for 50% of global growth."the IMF predicts that global headline inflation will fall from 8.8% in 2022 to 4.3% in 2024, though core inflation remains too elevated.Barring new shocks, "2023 could be the year of turning points, with growth bottoming out and inflation decreasing," per Gourinchas. "We're well away from any sort of global recession marker.

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