The International Monetary Fund (IMF) on Monday revised up China's economic growth outlook in 2017 from 6.6 percent to 6.7 percent, citing a stronger-than-expected out-turn in the first quarter of this year and expectations of continued fiscal support.

China's growth in 2018 is now expected to be 6.4 percent, instead of 6.2 percent in its previous forecasting.

People's Bank of China/VCG photo

In its latest World Economic Outlook, the IMF maintained China's 2017 growth rate at the same level as in 2016, hailing "previous policy easing and supply-side reforms, including efforts to reduce excess capacity in the industrial sector."

For the upward revision for 2018, the organization said it mainly reflects an expectation that the authorities will delay the needed fiscal adjustment, especially by maintaining high public investment, in an effort to meet the target of doubling 2010 GDP by 2020.

This economic report has also warned of economic slowdown resulting from a possible failure to continue the recent focus on addressing financial sector risks and curb excessive credit growth.

IMF holding press conference on world economic outlook

Global growth unchanged

IMF's prediction that the global economy will grow by 3.5 percent in 2017, and 3.6 percent in 2018, is unchanged.

It said the "pick-up in global growth" that it had anticipated in its previous survey in April "remains on track".

"While risks around the global growth forecast appear broadly balanced in the near term, they remain skewed to the downside over the medium term," warned the organization.

Wall Street of New York, US/VCG photo

US, UK lowered for 'uncertainty'

A "weaker-than-expected activity" in the first three months this year has spurred the IMF to cut the economic growth outlook for the US and the UK, expecting the US to grow 2.1 percent compared to 2.3 percent as predicted in April, and the UK at 1.7 percent instead of April's 2 percent.

As for the 2018 projection, the UK growth forecast remains unchanged at 1.5 percent, but US growth for the next year is now predicted to come in at 2.1 percent, instead of the 2.5 percent as previously forecasted.

On the markdown of the US forecast, the IMF said the major factor is the assumption that fiscal policy would be less expansionary than previously assumed, "given the uncertainty about the timing and nature of US fiscal policy changed."

A euro sign in Frankfurt, Germany/VCG photo‍

Eurozone a momentum

Meanwhile, the IMF has revised up projections for a number of Eurozone economies, including France, Germany, Italy and Spain. It said first-quarter growth in those countries "was generally above expectations."

"This, together with positive growth revisions for the last quarter of 2016 and high-frequency indicators for the second quarter of 2017, indicate stronger momentum in domestic demand than previously anticipated," it added.

The euro area as a whole is expected to grow by 1.9 percent this year, up from 1.7 percent.