Reports

1/17/2017

IMF, World Economic Outlook Update

"The outlook for advanced economies has improved for 2017–18, reflecting somewhat stronger activity in the second half of 2016 as well as a projected fiscal stimulus in the United States. Growth prospects have marginally worsened for emerging market and developing economies, where financial conditions have generally tightened. Economic activity was weaker than expected in ... Turkey as well, which faced a sharp contraction in tourism revenues."

International Monetary Fund (IMF), published an update today for the World Economic Outlook October 2016 release. 

It is reported in the Update that; 

"Growth estimates and projections for 2016–18 remain unchanged relative to the October 2016 World Economic Outlook. The outlook for advanced economies has improved for 2017–18, reflecting somewhat stronger activity in the second half of 2016 as well as a projected fiscal stimulus in the United States. Growth prospects have marginally worsened for emerging market and developing economies, where financial conditions have generally tightened." 

Turkey faced a sharp contraction in tourism revenues in the second half of 2016:

IMF Update further reports that; "There has been a stronger-than-expected pickup in growth in advanced economies, due mostly to a reduced drag from inventories and some recovery in manufacturing output. In contrast, it is matched by an unexpected slowdown in some emerging market economies, mostly reflecting idiosyncratic factors. Activity was weaker than expected in some Latin American countries currently in recession, such as Argentina and Brazil, as well as in Turkey, which faced a sharp contraction in tourism revenues. 

Global growth for 2016 is now estimated at 3.1 percent, in line with the October 2016 forecast. Economic activity in both advanced economies and EMDEs is forecast to accelerate in 2017–18, with global growth projected to be 3.4 percent and
3.6 percent, respectively, again unchanged from the October forecasts. Advanced economies are now projected to grow
by 1.9 percent in 2017 and 2.0 percent in 2018, 0.1 and 0.2 percentage points more than in the October forecast, respectively. "

Growth rate of the EMDEs, are projected to be 4.5 percent in 2017 and 4.8 percent in 2018. The 2017 rate is seen 0.1 percentage points lower when compared to the October Report.