U.S. Dollar Expected To Weaken Slightly – IMF
The U.S. dollar will register some slight weakening against the main currencies, in the next five years, given the current economic context, according to the International Monetary Fund, quoted by Reuters. IMF official David Robinson said the dollar will weaken, but only slightly, under pressure from the current international economic environment.
Robinson added he cannot make a more precise forecast because of the high error margin, but added the weakening will be slight, not huge.
Furthermore, Robinson said the U.S. dollar has strengthened, indeed, against the euro over the past several months, but it has not strengthened as much as other currencies.
In his opinion, the depreciation of the U.S. dollar does not help relaunch world economy, but it does not hinder this relaunch either.
According To the IMF, the economic recovery of the United States has proven more powerful than expected, but the nation is still vulnerable to high unemployment rates and the “dying” real estate market.
The IMF has slightly increases the United States’ economic growth forecast to 3.3% this year and 2.9% in 2011.
