The International Monetary Fund has lowered its global growth forecast for next year and warned of accelerating risks from wars to trade protectionism, even as it credited central banks for taming inflation without sending nations into recession.
Global output will expand 3.2%, 0.1 percentage point slower than a July estimate, the IMF said in an update of its World Economic Outlook released Tuesday. It left the projection for this year unchanged, at 3.2%. Inflation will slow from 5.8% in 2024 to 4.3% next year.
The fund has been cautioning for a couple of years that the world economy is likely to expand at its current mediocre level in the medium term — too little to give nations the resources they need to reduce poverty and confront climate change.
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