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The International Monetary Fund says the world has “so far, weathered the shock from the war better than feared”, as it issued an unchanged forecast for Australia’s economic growth in this financial year, but trimmed its estimate for 2025-26.
The IMF in an update to its World Economic Outlook predicted Australia’s economy would grow by 2% in 2026-27 - the same as the most recent forecast from April - but downgraded its estimate for 2025-26 by 0.1 percentage point, to 1.9%.
The IMF is clear that two of the biggest factors shaping the outlook for economies over the next two years are how exposed they are to the fuel shock and the AI boom, and Australia is well placed to manage both.
Continue reading...This article was originally published by The Guardian and written by Martin Farrer.
Read original article on The Guardian