It says the UK economy's performance in 2023 will be the worst among the 20 biggest economies, known as the G20, which includes sanctions-hit Russia.
BBC reports the IMF predicts the UK economy will shrink this year, although this is a small upgrade from its last forecast.
It also warned of a "rocky road" for the global financial system.
It follows the collapse of two US banks last month, closely followed by a rushed takeover of Swiss banking giant Credit Suisse by its rival UBS, which sparked fears of another financial crisis.
