Economy remains "remarkably resilient" (Il Sole 24 Ore Radiocor) - New York, 16 Apr - The International Monetary Fund edged up its forecast for global growth this year saying the economy had been remains "remarkably resilient", with steady growth and inflation slowing almost as quickly as it rose.

Global growth bottomed out at the end of 2022, at 2.3 percent, shortly after median headline inflation peaked at 9.4 percent, the IMF's chief economist Pierre-Olivier Gourinchas said in a blog post.

"According to our latest World Economic Outlook projections, growth this year and next will hold steady at 3.2 percent, with median headline inflation declining from 2.8 percent at the end of 2024 to 2.4 percent at the end of 2025." In its earlier January forecast the IMF had seen global growth this year of 3.1%.

Most indicators continue to point to a soft landing, Gourinchas said.

But the IMF said inflation remained a risk as too did wider economic divergences.

"The strong recent performance of the United States reflects robust productivity and employment growth, but also strong demand in an economy that remains overheated. This calls for a cautious and gradual approach to easing by the Federal Reserve." "The fiscal stance, out of line with long-term fiscal sustainability, is of particular concern. It raises short-term risks to the disinflation process, as well as longer-term fiscal and financial stability risks for the global economy. Something will have to give.".

AAA-Sje

(RADIOCOR) 16-04-24 18:43:20 (0694) 5 NNNN