IMF cuts global growth forecast as emerging economies slow

Reuters reports:

The International Monetary Fund on Monday cut its forecast for global economic growth and warned that the outlook could dim further if policymakers in Europe do not act with enough force and speed to quell their region's debt crisis.

In a mid-year health check of the world economy, the IMF said emerging market nations, long a global bright spot, were now being dragged down by Europe. It said a drop in exports in these countries would combine with earlier policies meant to prevent overheating and slow growth more sharply than hoped.