The G20 group of top economies meets in Turkey this weekend. For the meeting, the IMF issued an update on the state of the global economy – and the IMF is worried. It points out that global growth in the first half of 2015 was lower than in the second half of 2014, reflecting a further slowdown in emerging economies and a weaker recovery in advanced economies. Productivity growth has been persistently weak.
So, once again, the IMF has lowered its confidence in global growth, and yet, once again, expects a ‘modest’ pick-up in the 2nd half of this year and into 2016. But apparently the “risks are tilted to the downside, and a simultaneous realization of some of these risks would imply a much weaker outlook.”
This G20 meeting was the last for the IMF’s chief economist, Olivier Blanchard, who is leaving to take up a lucrative…
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