The International Monetary Fund (IMF) is predicting that the US economy could move into growth more quickly than its previous 'zero forecast' suggested, due to the slight improvement attributed directly to the US Government's economic

stimulus package.

The IMF says it now believes that the US economy – the world's largest – will grow by 0.75% next year, although it qualifies this statement by adding that a number of risks and uncertainties remain.

The fund's latest report on the US economy predicts a fall in GDP of 2.5% this year, compared with its previous forecast of a 2.8% contraction. But figures released earlier this month show that the pace of US job cuts slowed dramatically in May, while separate data published in May showed US consumer confidence at its highest level since September last year.