IMF cuts forecast for third time in four months
The global recession and plunging commodity prices has led the International Monetary Fund (IMF) to drastically cut back its world growth forecasts for the third time in just four months.
Global growth is expected to fall to 0.5 per cent in 2009. Advanced economies will shrink by 2 per cent in 2009, while emerging economies will slow in the coming year, growing by only 3.25 per cent.
Financial markets will remain strained through 2009 until the financial sector is restructured and the uncertainty about losses is resolved.
The IMF has called for governments around the world to support economic growth, saying the implementation of fiscal stimulus must provide a key support for economic growth.
“Given that the current projections are predicated on strong and coordinated policy actions, any delays will likely worsen growth prospects. Countries that have policy room should make a firm commitment to do more if the situation deteriorates further,” said the IMF.
The Federal Treasurer, Wayne Swan, said it was inevitable that Australian jobs and growth would be affected.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
