IMF Raises Global Economic Growth Forecast, Warns of Risks
Summary from the AllSides News Team
The International Monetary Fund (IMF) revised up its global economic growth forecast for 2024, while also warning of inequality and debt in some countries.
Growth Up: In a World Economic Outlook report titled, “Steady but Slow: Resilience Amid Divergence,” the IMF predicted a 3.2% growth rate for the next two years, raising its previous 2.9% prediction for 2024. This would include a slight acceleration in advanced economies and a slight slowdown in emerging markets and developing economies.
Debt and Other Warnings: While the report noted the U.S. economy’s “exceptional recent performance,” it also said that growth “reflects strong demand factors as well, including a fiscal stance that is out of line with long-term fiscal sustainability.”
How the Media Covered It: Coverage across the spectrum often focused on different takeaways from the report, aligning with different partisan narratives. For instance, the New York Post (Lean Right bias) highlighted the line about U.S. debt, referring to “Biden administration’s rampant spending,” and Fox Business (Lean Right bias) noted a warning about persistent inflation, for which Republicans blame Democrats. On the other hand, The New York Times (Lean Left bias) highlighted a warning about protectionism and trade barriers, and The Wall Street Journal (Center bias) highlighted a warning about poor countries falling behind. Some, like Bloomberg (Lean Left bias), covered many of these angles.
Featured Coverage of this Story
From the Right
IMF warns of ongoing inflation risk to global economyThe International Monetary Fund on Tuesday modestly upgraded its outlook for the world economy, but warned of ongoing risks including persistent inflation and geopolitical turmoil.
The Washington-based institution said in its latest World Economic Outlook that global gross domestic product will grow by 3.2% this year – which represents a 0.1 percentage point bump from its January forecast – and expand at that same pace in 2025.
"Despite gloomy predictions, the global economy remains remarkably resilient, with steady growth and inflation slowing almost as quickly as it rose," said Pierre-Olivier Gourinchas, the...
From the Center
IMF upgrades global growth forecast as economy proves ‘surprisingly resilient’ despite downside risksThe International Monetary Fund on Tuesday slightly raised its global growth forecast, saying the economy had proven “surprisingly resilient” despite inflationary pressures and monetary policy shifts.
The IMF now expects global growth of 3.2% in 2024, up by a modest 0.1 percentage point from its earlier January forecast, and in line with the growth projection for 2023. Growth is then expected to expand at the same pace of 3.2% in 2025.
The IMF’s chief economist, Pierre-Olivier Gourinchas, said the findings suggest that the global economy is heading for a “soft landing,”...
From the Left
IMF Lifts Growth Forecast for Global Economy, Warns of RisksThe International Monetary Fund inched up its expectations for global economic growth this year, citing strength in the US and some emerging markets, while warning the outlook remains cautious amid persistent inflation and geopolitical risks.
Global economic activity will expand 3.2% this year, it said Tuesday in its World Economic Outlook, up 0.1 percentage point from its January estimate. The forecast for 2025 was unchanged at 3.2%.
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