Friday, November 7, 2008

IMF Sees Global 2009 Recession as Advanced Economies Contract

Wall Street Journal:

The International Monetary Fund slashed its growth forecasts for the world economy yet again Thursday, while calling for more broad-based action to mitigate the financial crisis and boost growth.

The IMF now sees the global economy slowing to 3.7% this year and 2.2% next year, well below the 3% level the fund considers the threshold for a world recession. Just last month, the IMF trimmed its 2008 forecast to 3.9% growth from 4.1%, while reducing its 2009 estimate to 3% from 3.9%.

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