The global recovery is limping and the International Monetary Fund will cut growth estimates. The weakening of the global economy will have a negative impact especially on Japan, which will cause an excessive strengthening of the yen, which is now "moderately overvalued". This was stated by the director general of the IMF, Christine Lagarde, explaining that the revision of the World Economic Outlook (expected for July 16) "will tend downwards".
“This does not mean – added Lagarde – that there will be an enormous variation, but that it will still be a negative variation”. The IMF revises its estimates every quarter: in April, during its spring meeting in Washington, it forecast global growth of 3,5% in 2012 (more than the 3,3% forecast in January) and 4,1% in 2013 ( also in this case more than 3,9% at the beginning of the year).
Lagarde expressed concern above all about the impact of the continuing European crisis on the global economy and called for equally urgent action by European and American leaders. Speaking of the decisions taken yesterday by the central banks of Europe, China and Great Britain, the number one said she did not know if the rate cut was a coordinated action, but she was sure that "central banks face similar problems" .
