IMF cuts India's growth forecast for 2012-13 to 5-6percent

The International Monetary Fund, in its latest World economic Outlook, has lowered India's economic growth forecast by 1 per cent to 5-6 per cent for 2012-13. Released in Tokyo ahead of the IMF-World Bank 2012 Annual Meetings, the report said that the growth has weakened in the first half of current year due to deteriorating business sentiment and stalled investment due to governance issues. The IMF also said that while global growth would slow, there won't be a hard landing for emerging economies. It also warned U.S. and European policymakers that failure to fix their economic ills would prolong the slump.