IMF trims global economic outlook

The IMF has cut its forecast for global growth this year, citing a weaker first quarter in the US and warning that financial-market turbulence from China to Greece clouds the outlook.

The world economy will grow 3.3% in 2015, less than the 3.5% pace projected in April and slower than the 3.4% expansion last year, the International Monetary Fund said in revisions to its World Economic Outlook released yesterday in Washington DC. The fund left its forecast for growth next year unchanged at 3.8%.

While the IMF left its 2015 projections for China and the euro area unchanged from April, it singled out both economies as areas which are sources of potential risk. Chinese stocks have tumbled in recent weeks and Greece is struggling to reach a deal with European creditors to stay in the euro area.