International Monetary Fund warns Nigeria on tough times ahead

US / China trade war and Brexit threaten global growth says IMF

US / China trade war and Brexit threaten global growth says IMF

Yi's comments came two days after the International Monetary Fund (IMF) lowered its 2019 growth forecast for China amid continuing trade tensions with the U.S. The target for this year's annual economic growth, set by the government at the beginning of 2018, can be met, said Yi, speaking to Caixin on the sidelines of the World Bank Group and IMF meetings in Bali, Indonesia.

The IMF also said Monday that the global economy will grow 3.7% this year, the same as in 2017 but down from the 3.9% it was forecasting for 2018 in July.

United States growth this year remained steady at 2.9 percent but is set to slow in 2019 as the effect of Trump's sweeping tax cuts wear off and the trade dispute with China begins to set in.

The ongoing trade war between the US and China could start having material effects on the economies of both countries within the coming years, according to new projections from the International Monetary Fund (IMF).

Lagarde said in a statement that the request came during her meeting with Pakistani finance minister Asad Umar, and central bank governor Tarik Bajwa on the sidelines of the International Monetary Fund and World Bank annual meetings in Bali.

Tensions have soared in recent months with US President Donald Trump's administration rolling out billions of US dollars in tariffs against China in a bid to tackle its trade deficit and rein in what Washington views as unacceptable trade practices by the Asian giant.

"The macro-leverage ratio has stabilized, the leverage ratio of state-owned enterprises continues to fall, and local government debts are controllable", said Yi.

Avenatti says his client Julie Swetnick is 'telling the truth' about Kavanaugh
Asked about the FBI investigation on Saturday, President Trump told reporters he thought the probe was "going very well". It would be a risky precedent to deny Kavanaugh's appointment because of an unsubstantiated and unprovable allegation.

"Trade policy reflects politics and politics remains unsettled in several countries, posing further risks", IMF chief economist Maurice Obstfeld told a press briefing in Bali, where the fund kicks off its annual meetings this week.

Japan would see its 2019 growth rate more than halved, from 0.9% to 0.4%, under the worst case scenario. "Domestic Chinese policies are likely to prevent an even larger growth decline than the one we project, but at the cost of prolonging internal financial imbalances", the global financial body said.

Again, the challenges that have confronted three major economies in Africa that is; Nigeria, South Africa and Angola, have impacted the region's growth which has also affected overall global growth.

Nigeria's economy recorded slow growth in the second quarter of 2018 as oil sector contracted by 3.95% compared to 14.77% growth in the first quarter and 3.53% year-on-year.

Equally, Angola is at the moment contracting by about 0.1 per cent this year, with a projection of almost four per cent in 2019. "The negative revisions for emerging market and developing economies are more severe, at -0.2 and -0.4 percentage point, respectively, for this year and next year", Obstfeld said.

Jakarta expects the economy to grow by 5.2 per cent this year and 5.3 per cent next year, given external pressures.

"Many emerging economies are managing relatively well, given the common tightening they face, using established monetary frameworks based on exchange rate flexibility".

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