The IMF revises its forecast for France downwards

The International Monetary Fund (IMF) on Tuesday revised up its growth forecast for France in 2024, from 1.3% initially expected. Gabriel Atal’s government is counting on a rate of 1.4%.

The International Monetary Fund (IMF) on Tuesday sharply revised downwards its growth forecast for France this year to 2024. The institute, which published a copy of its updates on global growth prospects for the current year, cut its French forecast to 1.3% from 1.3%. %. This is a new rate that confirms the confirmed optimism of the French government, which counts as a reminder on the 1.4% growth.

On the other hand, the IMF forecast is now closer to the OECD trend which initially predicted 0.8%, and which the bank was banking on 0.8% growth for France in 2024. Overall, the fund was cautious and cautious. Its updates regarding the Eurozone. The figures reflect the proven pessimism of IMF forecasters.

Germany’s position affects the euro zone

The International Monetary Fund, in fact, significantly revised its forecast for Germany from 0.9% to 0.5%. The country, renowned as an export force on the European continent, has suffered from a decline in external demand in recent years, experts note. The decline in exports has further affected the German economy, which is already severely affected by inflation and the energy crisis. These effects are in fact affecting projected growth for the euro zone, which has now fallen to less than 1%. The IMF has, in fact, revised its European growth forecast to 0.9%, from 1.2% so far. In this wave of minus 1% updates, Italy indexed at 0.7%.

Spain and France, optimistic trends

Considering published rates and despite its downward revision, the IMF’s growth forecast for France is the most optimistic in the euro zone. They make the only two forecasts for the euro zone rated at 1% or more, with Spain (the most reassuring at 1.5% growth). Apart from the latter, its British neighbors are no better, with growth forecast at 0.6% instead of 0.5% in 2023. It remains to be seen whether the European Commission, which will publish its findings on February 15, will confirm these trends. . Until then, the Commission is calculating GDP growth for the euro zone by 1.2% in 2024.

3.1% for global growth

Crediting more optimism than forecast in the euro zone, however, the global economy appears to be doing better. The IMF is now counting on global growth of 3.1% for 2024 and 3.2% in 2025 after revising its first forecast (2.9% in October 2023). This global improvement is mainly due to the influence of American and some emerging countries. China (4.6%) and India (6.5%).