The International Monetary Fund (IMF) has upgraded its forecasts for growth in the world's economy this year.

In its World Economic Outlook, published today, the IMF has increased its forecast for global growth to 6% this year, up a half a percent on its January forecast.

It predicts growth of 4.4% in 2022. 

This follows an 'historic contraction' of 3.3% in 2020.

In its outlook, the IMF says "a way out of this health and economic crisis is increasingly visible."

It puts this down to the rollout of vaccines, the adaption of new ways of working and additional fiscal supports by governments, particularly in the United States.

However, it warns that recoveries are not equal across countries and even within some countries, with regions reliant on tourism doing less well.

Its upgraded forecast is mainly due to what's happening in advanced economies.

The IMF notes that the US economy is expected to grow by 6.4% this year and will be the only large economy to have a higher level of GDP next year compared to pre-pandemic forecasts.

It expects a rebound in European economies later this year, but at a slower pace.

It expects China's economy to grow this year by 8.4%.

The IMF says the crisis caused by Covid differs from the economic crisis in 2008.

This time, governments put in place financial supports.

However, poorer and emerging economies will suffer more compared to 2008 as they have fewer resources to lean on.

It calculates there's an additional 95 million people in the "extreme poor" category as a result.

The IMF is urging the world's governments to ensure universal vaccination happens.

Otherwise, it warns that "decades-long progress in global poverty reduction could reverse."