Tuesday , October 26 2021

The International Monetary Fund (IMF) cut the outlook for economic growth in Europe


The International Monetary Fund has lowered estimates for economic growth in Europe for 2018 and 2019.

In a report on Thursday, the IMF forecast 2.3 percent growth in 2018 for the region, compared with 2.8 percent last year and a decline in growth in 2019 to 1.9 percent.

In May, the bank had expected growth to be 2.6 percent in 2018 and 2.3 percent in 2019. It warned of short-term risks, especially related to "increasing trade tensions." "In the medium term, growth can slow down due to delays in implementing fiscal adjustments and structural reforms," ​​he said.

"Domestic demand, supported by stronger jobs and wages, has been a driver of strong growth in the European economy," the IMF said in a statement.

The IMF warned that Britain would leave the European Union without reaching an agreement, indicating that this could lead to higher trade barriers and non-trade barriers including import licenses and rules of origin and could affect growth.

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