IMF Warns of Weakest Five-Year Global Growth Outlook Since 1990

(Bloomberg) — The International Monetary Fund warned that its outlook for global economic growth over the next five years is the weakest in more than three decades, urging nations to avoid economic fragmentation caused by geopolitical tensions and take steps to bolster productivity.

The emergency lender sees the world economy expanding about 3% over the next half-decade as higher interest rates bite, Managing Director Kristalina Georgieva said Thursday in a speech in Washington. That’s the lowest medium-term growth forecast since 1990 and less than the five-year average of 3.8% from the past two decades.