by winston » Wed Apr 13, 2016 7:36 am
IMF warning of `severe' Brexit damage
The International Monetary Fund said the global economy faces wide-ranging threats from weak growth and rising protectionism, warning of possible "severe" damage should Britain quit the European Union.
It cut its global forecast for the third straight quarter yesterday, saying economic activity has been "too slow for too long" and called for immediate action by the world's economic powers to shore up growth.
It said intensifying financial and political risks around the world, from volatile financial markets to the Syria conflict to global warming, had left the economy "increasingly fragile" and vulnerable to a turn toward recession.
It said it was concerned over "fraying" unity in the EU under pressure from the migration crisis and the "Brexit" possibility.
Seeing a fall in global trade and investment, the IMF cut its forecast for world growth this year to a sluggish 3.2 percent, down 0.2 percentage points from its January outlook, and down from the 3.8 percent pace expected last July.
That reflects a glummer view of growth in both developed and emerging economies, with the forecasts for Japan, Russia, and Nigeria all pared back sharply. Most leading economies, including the United States, saw their growth projections cut back by 0.2 percentage points.
Only the pictures in China and developing eastern Europe were better. But at a slightly upgraded pace of 6.5 percent growth, China was still on track for a significant slowdown from last year which has sparked steep falls in global commodity prices, battering exporters.
Source: AGENCE FRANCE-PRESSE
It's all about "how much you made when you were right" & "how little you lost when you were wrong"