IMF sees better growth led by Japan, UK and China

  • IMF sees 3.5% growth compared to 3.4% in January forecast
  • IMF says 2016 global growth was 3.1%
  • 2018 forecast unchanged at 3.6%
  • US forecast unchanged at 2.3% in 2017 and 2.5% in 2018
  • Eurozone seen at 1.7% in 2017 vs 1.6% prior
  • Japan 2017 growth forecast at 1.2% vs 0.8% prior
  • China seen at 6.6% vs 6.5$ prior

The IMF said the improved outlook was due to strong manufacturing in Japan and Europe along with strong business confidence in the US. They also touted stronger government support and a recovery in commodity prices.

They warned that risks to the outlook include faster hikes from the Fed, rapid credit growth in China and protectionism.