Canada will fare better in the year ahead than some other global economies amid dire warnings Tuesday from the International Monetary Fund (IMF) about a looming downturn, according to economists who spoke to Global News.
The IMF revised down its World Economic Outlook on Tuesday, citing a “combination of shocks” that would “stall” major economies.
Global GDP growth next year is expected to slow to 2.7 per cent, compared to the 2.9 per cent forecast in July, the IMF said, as higher interest rates weigh on the U.S.
economy, Europe struggles with spiking gas prices and China contends with continued COVID-19 lockdowns and a weakening property sector. Read more: 2023 will ‘feel like a recession’ for many, IMF warns in revised global outlook Canada’s GDP growth will slow to 1.5 per cent next year, down 0.3 percentage points from the summer’s forecasts, the IMF forecasts. “In short, the worst is yet to come, and for many people, 2023 will feel like a recession,” said IMF Chief Economist Pierre-Olivier Gourinchas in a statement Tuesday.