Follow UK Investment Immigration and stay updated on UK economic trends: On the 8th, while lowering its global economic growth forecast for this year and next, the International Monetary Fund (IMF) expressed optimism about the UK economy and significantly raised its growth projections, increasing the forecast from 0.9% to 1.4%, and raising the 2014 UK economic growth forecast from 1.5% to 1.9%.
In its World Economic Outlook report released that day, the IMF predicted that the global economy would grow by 2.9% and 3.6% this year and next, respectively, down 0.3 and 0.2 percentage points from its July projections. The report warned that global economic growth remains sluggish and downside risks persist.
Recent economic data indicates that the UK's economic recovery is gradually consolidating. The quarterly economic forecast report released by the British Chambers of Commerce on the 8th also raised its UK economic growth forecast. The report stated that due to the strong growth momentum in the service sector, which dominates the UK economy, the GDP growth forecast for 2013 has been raised from 0.9% in the previous quarter to 1.3%, and the 2014 growth forecast has been raised from 1.9% to 2.2%.
The report predicts that the UK's current unemployment rate of 7.8% will fall to 7.5% by next autumn and further decline to 7% by the end of 2015. In addition, the UK inflation rate for 2013 is projected to be 2.7%, with rates expected to fall to 2.4% and 2.3% in the following two years, respectively. The service sector accounts for over 70% of the UK economy and is expected to grow by 1.9% in 2013, with growth of 2.6% and 3.0% projected for the next two years.
