The International Monetary Fund will revise its projection of Japan's economic growth in 2003 to 1.1 percent in a report to be released in September, up from the 0.8 percent projected in April, a German newspaper reported Thursday.

The IMF World Economic Outlook will project a 0.5 percent contraction in the Japanese economy in 2002, the Handelsblatt reported.

The 2002 figure is the same as the prediction the IMF made in a report on the Japanese economy issued earlier this month. In April, the IMF predicted the Japanese economy would shrink 1 percent in 2002. The Handelsblatt said the IMF will revise downward its 2002 growth estimate for the U.S. economy to 2.2 percent from the 2.3 percent projected in April, and the 2003 growth outlook to 2.6 percent from 3.4 percent.

For the global economy, the IMF will reportedly leave its 2002 growth projection unchanged at 2.8 percent, but will lower the 2003 estimate to 3.7 percent from 4 percent.

The IMF cites high current account deficits in the United States, tension in the Middle East and its impact on oil prices, and possible terrorist attacks as risk factors for the global economy, the newspaper said.