This article talks about the IMF lowering UK's growth forecast for the year 2013 again to 0.7% from 1% which was said last month. It also said that the world growth rate would happen at a 3.3% from 3.5%. It also said that the UK economy is progressing slowly. The economic weakness due to the lack of lending and the ongoing fiscal consolidation have lead to these cuts.
The IMF's world economic outlook report also cut the euro zones growth from 1.2% to 0.3% which is a large cut. Germany which is the strongest euro zone economy is expected to grow at 0.6% rate while the french economy is said to shrink by 0.1%. The lack of consumer and business confidence , high unemployment levels are leading causes for this slowdown in growth. Out of all the developed economies Japan was the only one to come with some good predictions from the IMF. Japan is going to see growth in this year and the year ahead by 1.4% and 1.6% respectively. Growth in developed economies would remain bumpy and not so bumpy for developing economies.
http://www.bbc.co.uk/news/business-22164028
The IMF's world economic outlook report also cut the euro zones growth from 1.2% to 0.3% which is a large cut. Germany which is the strongest euro zone economy is expected to grow at 0.6% rate while the french economy is said to shrink by 0.1%. The lack of consumer and business confidence , high unemployment levels are leading causes for this slowdown in growth. Out of all the developed economies Japan was the only one to come with some good predictions from the IMF. Japan is going to see growth in this year and the year ahead by 1.4% and 1.6% respectively. Growth in developed economies would remain bumpy and not so bumpy for developing economies.
http://www.bbc.co.uk/news/business-22164028
Emerging, as well as developing, economies are still somewhat strong, but in advanced economies, there appears to be a growing separation between the US and the Eurozone. The UK seems to have a steady improving position with regard to their economy but to get out of this 'funk' they're in, will certainly still take a while because consumers confidence levels aren't rising at the rate they'd like and there isn't a lot of alternate options for the IMF to carry out to try and improve the situation.
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