The International Monetary Fund says growth in global oil exports continues to slow, crude prices will stay low and there will be weak demand for non-oil commodities over the coming year. Considering those global trends, the IMF is lowering economic growth projections for Canada and most other countries as well.
The IMF today projects 1.5% economic growth for Canada this year and 1.9% for next year. That’s better than last year’s growth of 1.2% but it’s lower than January when the IMF estimated Canada’s economy would grow by 1.7% this year and 2.1% in 2017.
The IMF has also lowered estimates for the U.S. and most of the global economy as well. The lone exception is China. The IMF now estimates China’s economy will grow 6.5% this year and 6.2% in 2017, an increase of 0.2 percentage points over past forecasts for each year.
The Bank of Canada’s will release its latest economic assessment tomorrow.