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International Monetary Fund : Uk Growth Forecast Essay

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Brexit vote – UK Growth Forecast

Introduction

British Citizens made a choice on the 23rd June 2016, to leave the European Union. The UK has been a member of the European Union (EU) since 1973 and the EU gives many economic benefits to member’s countries, such as free movement of labour, harmonisation of regulations and the stability of being in the world’s largest trade block within 28 united countries.

The interest of many UK and non UK Citizens dwelled on the idea of what will happen the UK’s economy, what impact would this make to the rest of the world and its currency. In this paper it analyses the impact this has made to the GDP growth and the forecast for 2017. In July, soon after the 23 June referendum, the International Monetary Fund cut its 2016 GDP growth forecast from 1.9 per cent to 1.7 per cent and the 2017 forecast from 2.2 per cent to 1.3 per cent. The International Monetary Fund its near-global membership of 189 countries, the IMF offers policy advice and financing to members in economic difficulties and works with developing nations to help them achieve macroeconomic stability and reduce poverty.

This subject is good topic to analyse as it has impacted many of u, and therefore foresee how the future of UK economy looks like for 2017, by extracting economist’s predictions and looking at actual data, to predict the forecast of 2017. Due to the expectation that lower migration, trade and capital flows would take a toll, the IMF said it has also revised
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