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Next year, Latvia's economy could increase 4.4%. The data on Latvia, however, are not included in the overall eurozone forecast yet.

According to the IMF forecast, the eurozone economy is recovering towards 1.2% growth this year. Warning that recovery in the 18 eurozone members was struggling up a slippery slope, the IMF raised the outlook for this year from 1%, and forecast 1.5% growth next year and in the medium term.

Although the eurozone had "finally emerged from recession" after a contraction of 0.5% last year, "downside risks dominate", the IMF said.

The legacy of the financial and debt crises in the form of high unemployment, debt and tight credit still had to be tackled, but the recovery is underpinned by reforms already enacted, it added.

However dangers abound, notably a "relatively high risk" of deflation, which could set the recovery back, the IMF said.

The IMF predicts that all eurozone economies will increase this year except Cyprus whose economy is projected to decrease 4.8% this year.

According to the IMF forecast, the Estonian economy will grow 2.4% this year and 3.2% in 2015.

Its forecast for Estonia's economic growth for this year is more optimistic than the Estonian Finance Ministry's, Äripäev.ee/LETA reports.

The Estonian Finance Ministry revealed its fresh economic forecast on Monday and while at the beginning of September last year, the ministry forecast 2014 economic growth at 3.6%, the fresh estimate is 2%. According to the risk scenario, the growth could be only 1%. The ministry forecasts next year's economic growth at 3.5%.

IMF forecasts the euro area 1.2% economic growth for this year and 1.5% for the next year. The IMF forecast 3.6% growth for the world economy this year and 3.9% next year.