China-US trade deal to reduce global uncertainty

The newly signed China-US phase-one trade deal will reduce the uncertainty that has impeded global economic growth, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said Friday, reports AP.

"It is a welcoming sign that we now have the phase-one deal, sign in terms of reducing some of the uncertainty," Georgieva said at an event hosted by Peterson Institute for International Economics, a thinktank based in Washington DC of United States.

The IMF chief said her organization is making some projections around the impact of more certainty, which will be shared on Monday as part of the World Economic Outlook to be released at the World Economic Forum in Davos, Switzerland.

The multilateral lender expects the trade deal to support the growth of China's gross domestic product (GDP), Georgieva said.