IMF: Risk to Global Economy Increasing

The International Monetary Fund has lowered its estimate for worldwide economic growth this year to 3.3% from its July estimate of 3.5%.

The New York City-based institution also cut its 2013 forecast for global expansion by 0.3 percentage points to 3.6%. The IMF adds that there is "considerable" risk that conditions will worsen.

The group now predicts the eurozone economy will contract 0.4% this year vs. its earlier estimate of 0.3% shrinkage. The IMF sliced its 2013 outlook for the region's growth by a half-point to 0.2%.

The fund downgraded its U.K. forecast to a 0.4% contraction this year from the 0.2% expansion it predicted previously. The IMF also lowered its estimate for the country's 2013 growth by 0.3 points to 1.1%.

The group boosted its projection for U.S. expansion this year by 0.2 points to 2.2% but reduced the 2013 growth outlook by the same amount to 2.1%.

The IMF also made the following changes:

* China's expansion estimate pared 0.2 points to 7.8% (2012) and 0.3 points to 8.2% (2013).

Japan's growth outlook trimmed 0.2 points to 2.2% (2012) and 0.3 points to 1.2% (2013).

Brazil's expansion forecast sliced one point to 1.5% (2012) and 0.6 points to 4% (2013).

India's growth estimate slashed 1.2 points to 4.9% (2012) and 0.5 points to 6% (2013).

Russia's expansion outlook cut 0.3 points to 3.7% (2012) and 0.1 point to 3.8% (2013).