The International Monetary Fund said Thursday that it would probably lower its global economic growth, but did not expect a double-dip recession in the United States. "We will likely be revising downwards our forecast," IMF spokesman Gerry Rice said at a regularly scheduled news briefing, refusing to give further details.
There has been a sharp slowdown, particularly in Europe, and financial market turmoil has clouded forecasting since the IMF's World Economic Outlook report was issued in October, he said. "The global recovery remains unbalanced and bumpy. Since that WEO there has been a marked slowdown in economic activity, especially as we all known, in Europe. The turmoil in the financial market is also contributing to further uncertainty about the economic forecast. WEO updates will be issued "toward the end" of January, he added.
Asked whether the IMF sees the United States, where economic growth has been sluggish, falling back into recession, Rice said: "Our forecast is not for a double-dip recession." He also said the IMF has received no requests for short-term credit lines amid the current slowdown.