Washington  - The International Monetary Fund slashed its global growth forecasts on Thursday in the face of a spreading credit crisis, predicting a recession in the United States and the world in 2009.

The IMF said global growth would slow to 2.2 per cent in 2009. Growth of under 3 per cent is considered a global recession. The US will contract by 0.7 per cent and the euro area by 0.5 per cent in 2009. (dpa)