“The World Economic Outlook update will be launched on January 25 to allow our teams to incorporate the latest developments related to the COVID-19 pandemic into the economic forecasts,” the spokesperson said.Managing Director Kristalina Georgieva last month told the Reuters Next conference that the IMF was likely to further downgrade its global economic growth projections in January to reflect the emergence of the Omicron variant of the coronavirus.
In October, the IMF had forecast global economic growth of 5.9% in 2021 and 4.9% this year, while underscoring the uncertainty posed by the new coronavirus variants.Economists expect the IMF to cut its economic forecast for the United States, the world’s largest economy, given the rapid spread of the highly contagious Omicron variant, as well as the failure of Congress to pass US President Joe Biden’s $1.2 trillion social and climate spending package.
In October, it had already slashed its forecast for US Gross Domestic Product growth in 2021 by a full percentage point to 6%, citing supply chain disruptions and a labor crunch, while forecasting growth of 5.2% in 2022.The United States set a global record of almost 1 million new coronavirus infections on Monday, according to a Reuters tally, and its daily average has totalled 486 000 cases over the last week, a rate higher than that of any other country.
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