IMF forecasts for the world economy 2012

23^rd April 2012

The International Monetary Fund reviewed its euro zone growth forecasts slightly on 17th April and is now banking on a less serious recession than forecast for 2012, with a GDP contracting by 0.3% and not 0.5% as previously suggested. "The recession is not due to be as serious and will be short in many euro zone economies in the knowledge that market confidence and conditions have already improved and that demand from other other regions is due to rise," indicates the IMF in its report. The IMF is banking on a return to growth as of the second half of 2012 after a GDP contraction of 0.5% over the first six months of the year. This forecast is also slightly better for 2013, the year when the euro zone should witness a rise of 0.9% in its GDP and not 0.8% according to the IMF.

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