According to managing director Christine Lagarde, International Moneraty Fund (IMF)  global growth in 2016 will be modest and uneven. She was speaking in the World Economic Forum in Davos, Switzerland.

– Global growth is estimated at 3.4% (it was 3.1% in 2015) and 3.6% in 2017. There is modest optimism but significant risks, she said according to the WEF press release.

The biggest risk issues are the downturn of the Chinese economy, oil prices and different monetary policies around the world.

Lagarde said the transition of the Chinese economy, moving from industry to services, from exports to the domestic market, and from investment to consumption is a massive undertaking.

According to IMF,  Europe’s economy is now in better shape at 1.5% growth, but Lagarde pointed to two major concerns: potential Brexit and the refugee crisis.

– If the refugee crisis is handled well and the integration process is conducted in a cohesive and organized way, it will be an upside for growth, she said.

 

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