World Bank President David Malpass is deeply concerned that global growth has slowed to the brink of recession.

(AFP)

[Compilation of Lu Yongshan/Comprehensive Report] The World Bank released the latest "World Economic Outlook" report, which dropped the global economic growth forecast for this year from 3% predicted in June last year to one.

7%, warning that the world may fall into a recession, mainly due to high inflation, rising interest rates, reduced investment, the Ukrainian-Russian war, the disruption of the epidemic in China and the weak housing market in the country.

If the World Bank is concerned about global growth this year.

Seven percent of the predictions are correct, and this will be the third-lowest global economic growth rate in the past three decades, second only to the global financial tsunami in 2009 and the outbreak of the Wuhan pneumonia epidemic in 2020, which also means that the global economy will barely Steer clear of a recession; the World Bank also cut its 2024 global growth forecast to 2% from 3%.

seven%.

Please read on...

According to the report, the World Bank lowered the growth forecasts of the world's major economies for this year across the board; among them, the largest economy, the United States, by 2.

4% slashed to ○.

Five percent, the second largest economy in China by five.

Two percent down to four.

Three percent, Japan by one.

Three percent to one percent, Europe and Central Asia by one.

5% down to ○.

one%.

The World Bank warned: "Global growth has slowed to the brink of recession due to an unexpectedly simultaneous tightening of monetary policy in the face of weak global growth." We are deeply concerned that this slowdown may continue.

The World Bank pointed out that the global central bank's monetary tightening policy may be necessary to tame inflation, but it has led to the deterioration of global financial conditions and caused a serious drag on economic activities. The resulting impact has exacerbated the difficulties faced by emerging market and developing economies.

The report said that China's faster-than-expected reopening has created huge uncertainties for its economic recovery. If the reopening leads to a major outbreak of the epidemic, increasing the burden on the medical sector and hurting confidence, the economic recovery will be delayed; Chinese households, businesses and There are still many major uncertainties about how policymakers will respond to the evolution of the outbreak.

Malpass emphasized that China is a major variable in the recovery of the global economy this year. China's economy is large enough to increase global supply and demand. However, if China continues to increase pressure on global demand and push up commodity prices, the US Federal Reserve Fed) rate hike cycle will be dragged on for longer.

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