IMF Predicts Slow Growth For US Economy

The International Monetary Fund (IMF) is predicting a Slow growth for the United States, and overall increase in the World Economy up from last year's growth rate. In its latest World Economic Outlook released Wednesday, the IMF is projecting the world economy to grow by 4.9 percent this year and next. While that would be a moderation from last year's 5.4 percent advance, it would still represent a remarkably healthy showing, analysts say. The IMF outlook states that the US economy is likely to grow at a 2.2 percent rate which is the lowest since 2002. Last years growth rate was 3.3 which is impressive because the economy was faced with a sagging real estate market.

The reason for this gloomy prediction in US markets is because according to the IMF, the housing slup in the US is deeper than expected.

Another risk to the global economy is that oil prices will spike again, which could rekindle fears about inflation, the IMF said. Last summer, oil prices surged past $77 a barrel in United States.

For more information on IMF Economic Outlook visit www.IMF.com