British Chancellor George Osborne has rejected criticism of his economic austerity strategy by the International Monetary Fund.

British finance minister George Osborne vowed not to “run away” from Britain’s economic woes last night amid fresh signs Britain is heading for an unprecedented triple dip recession.

The IMF’s chief economist has suggested that Britain should tone down its austerity plans to help the struggling economy.

The IMF forecasts growth to reach 3.5% this year and a more robust 4.1% next year.

The IMF forecasts growth to reach 3.5% this year and a more robust 4.1% next year. However, conditions in the eurozone will remain challenging with the economy expected to contract by 0.2% before posting a modest growth rate of 1% next year, according to the Fund’s latest World Economic Outlook.

The Department of Finance said the IMF’s findings that austerity was having a worse effect on countries than they had predicted did not apply to Ireland.

Plagued by uncertainty and fresh setbacks, the world economy has weakened further and will grow more slowly over the next year, the International Monetary Fund says in its latest forecast.

Ireland is the only EU economy in an austerity programme that is not in recession, but it could become a victim of the others if eurozone and US politicians do not act, the IMF has warned.

The IMF has admitted it completely underestimated the effects of austerity on the Irish economy and believed the tax increases and spending cuts would not have cost so many jobs.

The IMF estimates the global economy growing at 3.5% this year, according to its latest World Economic Outlook.

An international lending organisation has slightly lowered its outlook for global growth over the next two years.

The International Monetary Fund (IMF) has said that risks in the euro zone and rising oil prices pose the biggest threats to global economic recovery.

Global growth is slowly improving as the US recovery gains traction and dangers from Europe recede, but risks remain elevated and the situation is very fragile, the IMF said yesterday.

The eurozone debt crisis is escalating and could derail the global economic recovery, the International Monetary Fund warned yesterday as it called for urgent action to restore confidence.

The IMF has said the Global economy is in a "danger zone" as a result of the euro crisis.

THE agreement reached by European countries for deeper economic integration was a step in the right direction but not a complete solution for the eurozone’s debt crisis, International Monetary Fund chief economist Olivier Blanchard said yesterday.

Our domestic woes could trip up our plans to be Europe’s turnaround star, writes Carmel Crimmins

EUROPE needs to “get its act together” and deal with its worsening sovereign debt crisis, the International Monetary Fund (IMF) said yesterday,warning of the risk of severe global repercussions.

Many world economies may pull out of recession earlier than previously thought, the International Monetary Fund (IMF) said today.

The world will slide into recession next year, the International Monetary Fund predicted today, slashing its global economic forecasts in the face of a growing credit crisis.

The International Monetary Fund today issued a fresh warning that Britain is on the brink of recession.