Portugal: IMF forecasts economic growth of 1.3 pct

10 April 2008

Lisbon, Portugal, 10 April – The International Monetary Fund (IMF) forecasts that Portugal’s economy will grow by only 1.3 percent in 2008, down 0.5 percentage points on its precious estimate last October.

In its spring report, the IMF said Portugal’s economy would continue to show slower growth than other eurozone members for the seventh consecutive year. Average eurozone growth is predicted to be 1.4 percent.

However, Portugal’s central bank said this week it expected growth above the eurozone rate this year.

The IMF said Portugal’s economy would show slight GDP increase in 2009 of 1.4 percent. The eurozone is expected to expand by 1.2 percent next year.

Portugal’s GDP grew 1.9 percent in 2007 so predicted economic expansion for 2008 is 0.5 percent lower than the pervious year. (macauhub)