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It is forecasting the unemployment rate to rise to 5.5% by the middle of 2018 and remain at that level throughout 2019.
The IMF also said the recession in the euro area will be deeper than initially feared this year, with activity contracting by 0.6 per cent, although it is forecasting the recovery to start next year with growth of 0.9 per cent.
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It is forecast the new company could bring in as much as £100m to the Welsh economy over the next 10 years.
It is forecast the sector's worth could grow to £11.1bn by 2016.
Without explicit tax-raising measures, it is forecasting a rise in the tax take from 37.8% of GDP in 2003-04 to 39.9% in 2006-07.
It is forecasting 13,000 customers by the end of 2010 and says it is growing at 114% month on month.
For the UK, it is forecasting growth of just 0.7%, after saying in January that the country's economy could expect 1% growth.
Like other chip makers, Elantec says it is forecasting growth to return in the fourth quarter.
In particular, it is forecasting lower corporation tax receipts than the government.Mr Brown can safely ignore such warnings about the public finances in his budget this spring.
He announced on Thursday that he would finally meet his debt target by 2016-17 when it is forecast by the Office for Budget Responsibility to fall to 79.9% of GDP from 80% the previous year.
He has announced that he would finally meet his debt target by 2016-17 when it is forecast by the Office for Budget Responsibility to fall to 79.9% of GDP from 80% the previous year.
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