IMF lifts global economic growth forecast to 3% in 2023

The International Monetary Fund (IMF) on Tuesday raised its 2023 global growth estimates slightly, given resilient economic activity in the first quarter. The global lender said it now projected global real GDP growth of 3.0 percent in 2023, up 0.2 percentage point from its April forecast.

The 2023-2024 growth forecast remains weak by historical standards, well below the annual average of 3.8 percent seen in 2000-2019, largely due to weaker manufacturing in advanced economies, and could remain at that level for years.

The IMF forecasts that global headline inflation would fall to 6.8 percent in 2023. IMF Chief Economist said it could take until the end of 2024 or early 2025 for inflation to come in line with central bankers' targets, seeing a potential end to the current cycle of monetary tightening.