IMF ‘over-cautious’ in growth forecast

THE IMF was being over-cautious in its forecast for the country’s economic growth, according to the Department of Finance and several economic commentators.

Overall the IMF’s annual report agreed in principle with the policies being pursued by the Government, but called for austerity measures to be stepped up.

Otherwise the Government’s budget deficit will be 5.9% in 2014 rather than the 2.9% they are committed to achieving under the EU growth and stability pact.