Resilient U.S. Economy and Chinese Stimulus Leads to IMF Upgrading Its Global Growth Forecast for 2024

  • 8 months ago
The IMF upgraded its global growth forecast for 2024 by 0.2 percentage points, to 3.1% due to resilience in the U.S. economy, Chinese fiscal stimulus measures, and strong performances from large emerging market economies. The IMF cited unexpected strength in the U.S. economy in Q4 2023, with growth of 3.3%, while China has also implemented fiscal stimulus measures to boost its economy amid issues like deflation and the property sector crisis. Inflation is falling faster than expected globally, which the IMF's chief economist called "good news".
Transcript
00:00 It's Benzinga and here's what's on the block. The IMF upgraded its global growth forecast for 2024
00:05 by 0.2 percentage points to 3.1% due to resilience in the US economy, Chinese fiscal stimulus
00:10 measures and strong performances from large emerging market economies. The IMF cited
00:15 unexpected strength from the US economy in Q4 of 2023 with growth of 3.3%, while China has also
00:21 implemented fiscal stimulus measures to boost its economy amid issues like deflation and the
00:25 property sector crisis. Inflation is falling faster than expected globally, which the IMF's chief
00:30 economist called good news. Global inflation is forecast to be 5.8% in 2024 and 4.4% in 2025,
00:37 while advanced economies will see inflation of 2.6% this year and 2% next year. The IMF sees a
00:42 reduced likelihood of a hard landing for the global economy, although risks remain from commodity
00:46 price volatility and supply chain issues due to geopolitics. For all things money, visit Benzinga.com.

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