IMF's forecasts for Hong Kong's economic outlook are mixed: it raises its forecast for 2018 by 0.2 percentage points to 3.8%, while cutting its forecast for 2019 by 0.3 percentage points to 2.9%.
The International Monetary Fund (IMF) on Tuesday forecasted India's growth rate at 7.3 per cent for 2018 and at 7.4 per cent in 2019.
IMF's projection is coming barely a week after the World Bank cut growth in Sub-Saharan Africa from 3.1% in 2018 to 2.7%.
IMF Managing Director Christine Lagarde confirmed that Pakistan had requested the loans after meeting with Finance Minister Asad Umar in Indonesia, without saying how much the Pakistanis had asked for.
The IMF expects the United States economy to grow 2.9 per cent this year, the fastest pace since 2005 and unchanged from the July forecast.
A white paper published by China last month revealed that the country can economically withstand the effects of a long, drawn-out trade war with the United States, but it took extra measures for preparation when the Chinese central bank cut the amount of reserves held by banks.
The Pakistani government has made a decision to approach the International Monetary Fund (IMF) for a bailout to address the mounting balance of payments crisis faced by the South Asian country, Finance Minister Asad Umar announced on Monday.
"Owing to these changes, our worldwide growth projections for both this year and next are downgraded to 3.7 percent, 0.2 percentage point below our last assessments and the same rate achieved in 2017", the report said.
Thor Equities CEO Joe Sitt on the increasing US trade tensions with China.
"The possibility that China and USA resolve their disagreements would be a significant upside to the forecast", Obstfeld said.
The trade deficit has gone up 8.6 percent this year to $31 billion. "Domestic Chinese policies are likely to prevent an even larger growth decline than the one we project, but at the cost of prolonging internal financial imbalances", the global financial body said.
The IMF said higher trade barriers could disrupt global supply chains, slow the spread of technology and ultimately lower global productivity and welfare. "Not only have some downside risks that the last WEO identified been realized, the likelihood of further negative shocks to our growth forecast has risen", Obstfeld said.
Fed rate hikes are already increasing pressure on emerging market economies by fuelling an outflow of capital as investors seek higher returns.
With respect to China, the International Monetary Fund reduced its growth estimates for 2019 to 6.2% from its initial estimation of 6.4%.
The IMF staff team stressed the need for a decisive policy action on further exchange flexibility and tightening of fiscal and monetary policies along with structural reforms and "further increase in gas and power tariffs" to address the hard economic situation Pakistan is facing, with high fiscal and current account deficits and low foreign exchange reserves.