The International Monetary Fund (IMF) anticipates a ‘soft landing’ for the global economy in 2024, according to statements made by spokesperson Julie Kozack during a media briefing in Washington DC on Thursday. While acknowledging the resilience of the global economy, Kozack cautioned leaders to prepare for future challenges.
“We’ve observed a relatively resilient global economy so far, and we expect that resilience to extend into 2024,” Kozack stated. She highlighted a decrease in inflation and the ongoing resilience of labor markets. However, she also noted that global growth is hovering around 3 percent, a figure significantly lower than previous average growth rates of approximately 3.8 percent, indicating the need for efforts to boost global growth, especially over the medium term.
In a positive note for Africa, the continent is projected to be the second-fastest-growing economic region globally. The IMF’s executive board completed the third review of Mozambique’s three-year loan program, enabling an immediate disbursement of about $60.7 million to Maputo.
Despite the ongoing conflict in Gaza, the IMF engaged in discussions with Egypt regarding reforms. Kozack stated, “Our team is in discussions with the authorities on a set of policies that would support completion of the first and second reviews of the EFF that Egypt has with the Fund.” She emphasized the progress made in discussions and the expectation for ongoing talks in the coming weeks to address key policy priorities.
The IMF is set to release its updated global growth forecast and unveil the World Economic Outlook report in Johannesburg on January 30.
