Fitch maintains its global economic growth forecasts for 2018-2019
Fitch international rating Agency still expects the global economy to grow by 3.3% this year.
According to the Agency's December world economic forecast, Fitch also maintained its growth forecast for 2019 at the level of the September estimate of 3.1%. In 2020, the Agency expects economic growth of 3%.
"The world economy continues to grow at a rapid pace, but cracks are beginning to appear in the picture of world growth," the words of Fitch senior economist Brian Coulton are quoted in the release. He noted the slowdown in world trade and disappointment about the growth of the Eurozone economy.
Eurozone GDP growth forecasts are downgraded to 1.9% this year and 1.7% next year from September's estimates of 2% and 1.8%, respectively. The forecasts of China's economic growth have not been changed, but" the slowdown that we have been waiting for some time, is now manifested, " analysts of the Agency note, abc.az reports.
According to Fitch, the ECB will refrain from increasing the key rate until 2020, and the US Federal reserve is expected to raise the rate three times in 2019.
US GDP growth remains on track to reach 3% this year, while next year growth will slow, according to Fitch.