WASHINGTON (Sputnik) — The IMF revised its outlook, reducing global output growth in 2016 from 3.2 percent to 3.1, and the 2017 outlook from 3.5 percent to 3.4 percent.
Coming Soon: World Economic Outlook Update July 19, 2016. Live 9am EDT, 1pm GMT https://t.co/9H2fe30ds2 #WEO pic.twitter.com/487yPuLI2w
— IMF (@IMFNews) 18 July 2016
"As of June 22, we were… prepared to upgrade our 2016-17 global growth projections slightly. But Brexit has thrown a spanner in the works," IMF Director of Research Development Maury Obstfeld said in a statement accompanying the report.
Global growth forecasts for 2017 cut by 0.1 percentage points to 3.4% #WEO https://t.co/vyQZ43xyeE
— IMF (@IMFNews) 19 July 2016
The Brexit decision substantially increases economic, political and institutional uncertainty, which have been projected to have negative consequences, the report noted.
Additionally, the IMF explained that the full impact of Brexit on global markets is difficult to assess because it is still unfolding.
The IMF has previously stated the full global impact will depend on Brexit negotiations as well as any new trade agreements that the United Kingdom may conclude with other nations.
