Home News The Institute for International Finance halved its growth forecast for the world...

The Institute for International Finance halved its growth forecast for the world economy in 2022

33
0

The Institute also expects capital flows to emerging markets to fall by 42% from last year.

Based on its new estimates, the global banking group said the risk of a recession has risen as real growth is expected to stagnate.

“Weakness has a broad base and leaves little room for error. The risk of a global recession is high. “In this context, we expect non-resident flows to emerging markets to slow significantly,” the Institute’s economists wrote in a report.

The institute has lowered its forecast for global GDP growth to 2.3% from 4.6%. For the G3, which includes the United States, the eurozone and Japan, this year’s growth is expected to be 1.9 %.

Read:   The rise in oil prices after the EU banned most imports from Russia. Analyst: "It is now moving towards the highs reached in March"

In China, economic growth is expected to slow from 5.1% to 3.5%.

“China’s Omicron wave is more disruptive than we anticipated and will have a substantial impact on capital growth and flows,” according to the Institute.

If you like this article, we look forward to joining the community of readers on our Facebook page, with a Like below:

Previous articleMoldova is interested in stable prices for Russian gas
Next articleIndia has no immediate plans to lift the ban on wheat exports