World Bank sees slower global economic growth of 2.9% this year
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The growth of the global economy is expected to slow to 2.9% in 2019 compared with 3% in 2018, the World Bank said on Tuesday, citing elevated trade tensions and international trade moderation. “At the beginning of 2018 the global economy was firing on all cylinders, but it lost speed during the year and the ride could get even bumpier in the year ahead,“ World Bank CEO Kristalina Georgieva said in the semi-annual Global Economic Prospects report.
The World Bank outlook comes as the United States and China have been engaged in a bitter trade dispute, which has jolted financial markets across the world for months. The two economies have imposed tit-for-tat duties on each other’s goods, although there have been signs of progress.
Growth in the US is likely to slow to 2.5% this year from 2.9% in 2018, while China is expected to grow at 6.2% in the year compared with 6.5% in 2018, according to the World Bank.
Emerging market economies are expected to grow at 4.2% this year, with advanced economies expected to grow at 2%, the World Bank said.
Questions & Answers
Q.What is the World Bank's overall forecast for global economic growth this year?
What is the World Bank's overall forecast for global economic growth this year?
The World Bank anticipates global economic growth to slow to 2.9% in 2019. This is a decrease compared to the 3% growth rate recorded in 2018, primarily due to heightened trade tensions.
Q.Which specific factors are contributing to this predicted slowdown in global economic growth?
Which specific factors are contributing to this predicted slowdown in global economic growth?
The World Bank has attributed the anticipated slowdown in global economic growth primarily to elevated trade tensions and a moderation in international trade. These factors have caused the global economy to lose speed.
Q.How do the growth forecasts for the US and China compare with last year's figures?
How do the growth forecasts for the US and China compare with last year's figures?
Growth in the US is expected to slow to 2.5% this year, down from 2.9% in 2018. China's economy is projected to grow at 6.2% in 2019, compared with 6.5% achieved in the previous year.
Q.What are the World Bank's growth predictions for emerging market economies and advanced economies this year?
What are the World Bank's growth predictions for emerging market economies and advanced economies this year?
Emerging market economies are expected to achieve a growth rate of 4.2% this year. In contrast, advanced economies are projected to experience a slower growth rate, with forecasts putting it at 2% for the current year.
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