As a result of the US economy slowing down, the International Monetary Fund foresees the global economy to expand by 3.3% rather than 3.5% as originally predicted for 2015. During the first quarter of this year, the US economy declined by 0.2%, causing the global economy to also slow down.
The 1.5% growth forecast for the Eurozone however, remained unchanged, even when taking the Greek crisis into account. Germany and France are also predicted to grow by 1.6% and 1.2% respectively whereas growth for China is set at 6.8% despite its stock market volatility.
However, it does not seem to be the case that China and Greece will affect the overall global economic growth, stated Olivier Blanchard, director of the IMF Research Department.
The global economic growth forecast for 2016 seems quite positive as it is expected to strengthen to 3.8%.
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