The International Monetary Fund (IMF) has taken an axe to its global growth forecasts while listing a string of threats to the economic recovery from the coronavirus pandemic.

The world’s lender of last resort downgraded a prediction, made in October, for 4.9% growth in collective gross domestic product this year, saying it now expected a figure of 4.4%.

That was down from the 5.9% estimated during 2021 as economies fought back from the worst of the massive downturn during 2020.

It said the reduction in its updated 2022 forecast was largely led by the world’s two largest economies – the United States and China.

But the IMF’s World Economic Outlook also cut its expectations for most advanced and emerging economies, including the UK.

The IMF cited disruption brought by restrictions to stop the Omicron  COVID Variant and inflation – caused by surging energy prices and supply chain woes that have seen shipping volumes overwhelmed and worker shortages.

“In the United Kingdom, disruptions related to Omicron and supply constraints (particularly in labour and energy markets) mean that (2022) growth is revised down by 0.3 percentage point to 4.7%,” the report said.

Of the advanced economies, only Spain is expected to outperform the UK this year in terms of growth.

The IMF said: “The global economy is entering 2022 in a weaker position than anticipated.

“News of the Omicron variant led to increased mobility restrictions and financial market volatility at the end of 2021.

“Supply disruptions have continued to weigh on activity. Meanwhile, inflation has been higher and more broad-based than anticipated.”

The IMF forecast said shutdowns of Chinese cities to control Omicron and financial stress in its property market meant it was shaving 0.8% off its earlier projections for the world’s second-largest economy.