The IMF again lowered its growth forecast for 2019
The International Monetary Fund has published its annual forecast and updated the growth rate of the world economy downward, again regarding Israel. The situation is not particularly optimistic, according to the report. However, the IMF expects greater growth in 2020
The International Monetary Fund (IMF) again lowered its global growth forecast for 2019 on Tuesday. The IMF notes that there are many risks to global growth, such as the rising trade margins in the world and the tight monetary policy of the US Federal Reserve.
The current IMF forecast for 2019 is that the world economy will grow by 3.3%. This is a decrease of 0.4% from the previous forecast, which was also low. The IMF added that it expects the world economy to grow by 3.6 percent in 2020.
Other risks to the global economy mentioned in the report were the difficulties in the Berkazit agreement, political uncertainty in a variety of major countries in the world, and tensions in East Asia.
In contrast to the Bank of Israel, which last night revised its growth forecast downwards but expects growth of 3.5% in 2020, the IMF is not optimistic about Israel’s economy and has been informed that its growth rate will be 3.3% this year and next year. According to the fund, inflation in Israel in 2019 will be 0.9%.