IMF predicts steady global growth and disinflation while warning of slowdowns in EU and India

The International Monetary Fund (IMF) will release its updated World Economic Outlook on January 17, predicting steady global growth and ongoing disinflation. The U.S. economy is performing better than expected, but uncertainty surrounds the incoming administration's trade policies. The IMF forecasts a slowdown in the European Union and India, while Brazil faces higher inflation. In China, deflationary pressures and weak domestic demand are ongoing challenges. Lower-income countries remain vulnerable to new economic shocks. Georgieva noted that higher interest rates have not led to a global recession, but inflation trends vary by region. Countries are encouraged to reduce fiscal spending and implement reforms to sustain growth.