IMF chief says Brexit uncertainty must end soon to stop economic slowdown
Christine Lagarde said that they have cut this year's global growth forecast by 0.1% points to 3.1%.
The head of the International Monetary Fund on Friday said that the uncertainty that loomed over the global economy ever since Britain voted to leave the European Union is slowing down growth and urged for a quick end to the indecision. Addressing a meet in China, Christine Lagarde said the IMF has cut this year's global growth forecast by 0.1% points to 3.1%, reported the Associated Press.
Lagarde said if Brexit had not happened, the IMF would have predicted better economic growth. The former French finance minister said they were preparing to raise the global growth forecast by 0.1% points with Japan, China and the 17-country euro zone showing signs of improvement. "This uncertainty should be removed as quickly as possible so that we know the terms of trade and the ways in which the United Kingdom will continue to operate in the global economy," said the IMF head.
Top Chinese financial official Li also called for closer coordination of economic policy. "All countries should work together to promote the recovery of the world economy," he said and promised that his country will "avoid a trade war or currency war."