In the latest forecast in October 2013, which updated the July 2013 forecast, global economic growth was revised downward in just three months by 0.3 percentage point for 2013 and 0.2 percentage point for 2014, mainly due to the lower growth outlook for emerging and commodity-exporting economies including China.
It will take time to understand the impact of these changes as well as the economy’s sensitivity to higher interest rates. Governing Council expects that incoming data and new research will shed more light on these four issues as we move forward.