IMF World Economic Outlook for 2014
IMF lowers 2014 World Economic Outlook Global Growth forecast to 3.6% from 3.7%
* Recovery remains uneven... recovery is strongest in U.S.; growth forecast to be 2.8% in 2014; says also strong in U.K. and Germany; some imbalances persist... says fiscal stimulus has played a large role in Japan recovery... Euro area is seeing the South stronger for the first time in two years; growth remains low but recovery on track; notes exports growing but internal demand remains weak.
* Sees a 20% chance of deflation in euro area... says acute risks for global recovery have decreased but not disappeared.... says recovery in Southern Europe can not be taken for granted... potential growth on advanced economies is expected to remain low; says measures to increase global growth are important... potential growth in many emerging markets have decreased; notes lower growth may be desirable such as in China... effects of financial crisis are slowly diminishing.
* IMF's Blanchard: ECB should take action sooner rather than later to deal with
low inflation- Source TradeTheNews.com