CRI's Zhang Shuangfeng has more.

 

　　The IMF has released its newest assessment of the global economy, World Economic Outlook.

 

　　In the report, the IMF cut its forecast for global growth to 3.3 percent this year, down from its January forecast of 3.5 percent.

 

　　However the global lending organization didn't alter its prediction of 4 percent global growth in 2014.

 

　　Olivier Blanchard, an IMF Economic Counselor, says the world economy has turned into a three-speed recovery.

 

　　"Namely, that we have moved from a two-speed recovery to a three-speed recovery. Emerging market and developing economies are still going strong, but in advanced economics, there appears to be a growing bifurcation between the United States on the one hand and the Euro area on the other."

 

　　Blanchard adds the three-speed recovery is reflected in the IMF's forecasts. The IMF predicts that growth in emerging markets and developing economies will reach 5.3 percent in 2013, and 5.7 percent in 2014.

 

　　Blanchard says developing nations including China, are expected to show the strongest growth over the next two years.

 

　　"We forecast China to grow at 8% in 2013. Although this forecast was made before yesterday's numbers were announced, and we are sill analyzing these numbers, but at the moment is 8%."

 

　　The IMF forecasts were issued before China reported that its growth slowed to 7.7 percent in the first quarter.

 

　　That was down from 7.9 percent in the previous quarter. In its previous forecast, the IMF had predicted 8.1 percent Chinese growth this year.

 

　　Blanchard is warning advanced countries' financial policies and slow recovery would make developing countries' policies more complicated.

 

　　"Given the strong interconnections between countries, an uneven recovery is also a dangerous one. In some ways, the world economy is as weak as its weakest link. While some tail risks have decreased, it is not time for policy makers to relax."

 

　　Meanwhile, according to the report, growth in the United States will be 1.9 percent in 2013, and 3 percent in 2014. However, the IMF predicts that the 17-country euro zone will shrink 0.3 percent in 2013 and grow only 1.1 percent in 2014.

 

　　The IMF predicts the 17-member euro zone is expected to continue struggling, as governments take steps to reduce their deficits and weak banks reduce lending.

 

　　The IMF issued the report in advance of spring meetings of the IMF and World Bank in Washington later this week.

 

　　The agenda for the meetings is expected to include discussions on how to accelerate growth, create jobs and reform banking regulations.

 

　　For CRI, I'm Zhang Shuangfeng.